lls and leaves a little left over. Your house is costing you a bundle. But when you sell it you will make money, are you sure? Normally you will but many thousands of people have seen the value of their house decline when the mill shut down or other unforeseen events happen. However if you do sell your house and then use that money toHow big is yours? I mean how big is your TV? How many horsepower is your car or truck? Can your sewing machine do the latest stitches? Are you in debt? If the last question is yes then the first ones should be little or none.

One of the most interesting things I saw when I did active debt counseling was the look on people’s faces when they realized what constitutes an asset and a liability. Here is the easiest way I have learned to explain it. An asset makes you a profit every month or every 4-months at the most. A liability losses you money every month.

Lest talk about a few; we'll start with our big fancy 4x4 truck. Never mind it has never seen any conditions that would require four-wheel drive or the extra suspension lift we just had to have. Does it make you a profit? Well if you are a delivery driver and that is the vehicle you use to do all of your business the answer may be yes, otherwise it is a liability. You need something to get you to work? Walk, take the bus, bike, get a compact car but no matter how you slice it, the big 2x4 does not make you money, it only costs you money.

Okay the truck one was easy target, lets look at our house, the greatest purchase most of us will ever make. Asset or liability? It is a liability, unless you are renting out most of your house and that rent pays all the bills and leaves a little left over. Your house is costing you a bundle. But when you sell it you will make money, are you sure? Normally you will but many thousands of people have seen the value of their house decline when the mill shut down or other unforeseen events happen. However if you do sell your house and then use that money to

s when they realized what constitutes an asset and a liability. Here is the easiest way I have learned to explain it. An asset makes you a profit every month or every 4-months at the most. A liability losses you money every month.

Lest talk about a few; we'll start with our big fancy 4x4 truck. Never mind it has never seen any conditions that would require four-wheel drive or the extra suspension lift we just had to have. Does it make you a profit? Well if you are a delivery driver and that is the vehicle you use to do all of your business the answer may be yes, otherwise it is a liability. You need something to get you to work? Walk, take the bus, bike, get a compact car but no matter how you slice it, the big 2x4 does not make you money, it only costs you money.

Okay the truck one was easy target, lets look at our house, the greatest purchase most of us will ever make. Asset or liability? It is a liability, unless you are renting out most of your house and that rent pays all the bills and leaves a little left over. Your house is costing you a bundle. But when you sell it you will make money, are you sure? Normally you will but many thousands of people have seen the value of their house decline when the mill shut down or other unforeseen events happen. However if you do sell your house and then use that money to

nditions that would require four-wheel drive or the extra suspension lift we just had to have. Does it make you a profit? Well if you are a delivery driver and that is the vehicle you use to do all of your business the answer may be yes, otherwise it is a liability. You need something to get you to work? Walk, take the bus, bike, get a compact car but no matter how you slice it, the big 2x4 does not make you money, it only costs you money.

Okay the truck one was easy target, lets look at our house, the greatest purchase most of us will ever make. Asset or liability? It is a liability, unless you are renting out most of your house and that rent pays all the bills and leaves a little left over. Your house is costing you a bundle. But when you sell it you will make money, are you sure? Normally you will but many thousands of people have seen the value of their house decline when the mill shut down or other unforeseen events happen. However if you do sell your house and then use that money to

a compact car but no matter how you slice it, the big 2x4 does not make you money, it only costs you money.

Okay the truck one was easy target, lets look at our house, the greatest purchase most of us will ever make. Asset or liability? It is a liability, unless you are renting out most of your house and that rent pays all the bills and leaves a little left over. Your house is costing you a bundle. But when you sell it you will make money, are you sure? Normally you will but many thousands of people have seen the value of their house decline when the mill shut down or other unforeseen events happen. However if you do sell your house and then use that money to

lls and leaves a little left over. Your house is costing you a bundle. But when you sell it you will make money, are you sure? Normally you will but many thousands of people have seen the value of their house decline when the mill shut down or other unforeseen events happen. However if you do sell your house and then use that money to live on, it was an asset the day you sold it, but that is the only day!

What are common assets? Rental properties are the most common. There are very few people in this world that are wealthy that do not own a lot of this type of asset. They have spent years learning what to buy and where to buy it, and then they rent it out and have someone else pay for it. Jim Rohn the business philosopher says, "Your child should have two bikes. One to ride the other to rent." Other assets can be stocks, bonds, art, businesses the list is long. All assets can easily become a liability, you need to know what you are involved in. Luckily that information is so easy to get now. The information age has made what were once the secrets to the rich, available on hundreds of web pages for free. Just make sure you read from a few different sources, just because it is on a web site does not make it true.

Here is the point, rich people have a lot of assets and vigorously get rid of all liabilities and poor people do just the opposite. Start looking at your personal financial position and work at getting some assets and eliminating your liabilities.