Assets and Liabilities are two of the most important things to learn and manage when it comes to growing your wealth. Your credit score and the spread between your assets and liabilities are what banks look at when deciding weather or not you can manage more debt.
Assets are anything that:
Produces a positive income return
Appreciates in value
Pays for its self
Has little to no accumulating interest
Liabilities are the opposite, a Liability is anything that:
Depreciates in value
Does not produce a return
Has to be payed for at the cost of your income base
Has high interest accumulating
Anything and everything can be an Asset or a Liability, it all depends on how you use what you have purchased.
If you want help deleveraging your debts and restructuring your liabilities than feel free to reach me either on FB or IG with the @InvestwithWesley
