Assets vs Liabilities

Assets vs Liabilities

Today we are discussing Assets vs Liabilities…..

The biggest complication when trying to understand the basics in wealth and finances can be the very fluid and opposing categories of assets and liabilities. What is an asset and what is liability?

In short — an asset is something that creates incoming cashflow. While a liability is something that creates a cash outflow or somehow regularly costs you money. So how are these categories both so opposite and fluid? Let’s break it down using Robert Kiyosaki’s description in the video below:

So what are your assets and what are your liabilities? Chances are you may have assets you didn't even know were assets and you may have liabilities that you didn't know about. Take a moment to reflect on them, make a list if you can.

Maybe you believed your home was an asset? Perhaps your car? The things we have that appreciate and depreciate are just not always obvious...and that pushes us to the next concept of how do we turn liabilities into assets? And when or under what circumstances does an asset become a liability? There are a number of ways to create this transition and depending on the item it is simple and quick or could be longer and more complex. In the video below, Kiyosaki goes in deeper to layout the connection and transitions between the two. It's a deep dive so if you don't have an extra 15min, be sure to come back later and watch. What you can learn is almost guaranteed to surprise you....

As it's clear to see, nearly all MintBuilder Products are assets. Outside of the safes, cases and storage materials we offer -- gold and silver, which continue to rise overall, are one of the sure shot assets you can rely on to safely store and build true wealth over time that also help to insulate against financial loss.

Have questions? We'd love to chat. Email [email protected].