Key concepts
- Wealth = Passive Income from Assets - Living Expenses
- Passive Income from Assets = Yield from Assets + Return on Assets
- Living Expenses: Cost of Living (Basic needs) vs. Cost of Lifestyle (Lifestyle choices)
- Dimensions of Wealth
- Financial Security 💰 - Having significant assets that provide financial security
- Financial Independence 🧘 - Passive Income = Cost of Living
- Financial Freedom 🏖️ - Passive Income > Cost of Lifestyle
“Wealth is a person’s ability to survive so many number of days forward—or, if I stopped working today, how long could I survive?” - Robert Kiyosaki