Chapter 385: Assets and Liabilities

(12) Assets and liabilities

Someone left a message in the third lecture saying that I was too lazy, in fact, I update it every day, but everyone pays attention to it differently, and I am naturally unhappy when I only see the financial management coming in and not seeing the new, and I can only say sorry here.

I want to decide what to talk about next based on the comments, and talk about what the judge really cares about. This time, I found that some people don't really understand the meaning of assets and liabilities.

【Belle Franc Financial Guide】

The third lecture is on assets and liabilities

There is a clear difference between what I understand as assets and liabilities. It is:

The money that puts money in your pocket is an asset, and the money that takes money out of your pocket is a liability.

Many people regard their houses, cars, and children as their assets, and that's wrong! That's why you can't save a million!

Raising a house, a car, and children are all out of your pocket!

Only after the house is sold, if it is higher than the actual price paid (down payment + monthly payment + property and other qiē expenses, or full payment + deed tax and other taxes and insurance premiums + property fees), and the money grown out is put in your pocket, then it is your asset. Or, the annual rental income of the house is higher than the actual annual price paid (down payment ÷ property rights + monthly payment + property and other taxes and fees) to be considered a successful investment!

At the current house price, the house you buy is basically a liability, and it will take several years for it to become an asset.

Needless to say, cars and children, basically as long as they don't cause trouble and don't let you eat and walk around, you're going to burn high incense! Look at the kid who ran to the Shanghai Public Security Bureau and killed six people in a row!

A relative came to my neighborhood on the road to practice driving, came in to visit, and said indignantly: I have worked for more than 20 years, and I can't afford to buy a house, you are so young......

I laughed: just because you bought the car first!

Distinguishing between assets and liabilities is the most important part of financial management. And the real reason why I don't do anything to get the money out of my pocket first.

A friend thought about it for a long time and said, "It seems that I only have one asset, and that is my camera." Because the income from photography is far greater than the original purchase price and future maintenance fees. ”

Isn't it ridiculous? What about your assets?