Time value of money

Money does not sleep. It either grows or diminishes. If your money is idle, it is diminishing. Provided money can earn interest, this core principle of finance holds that money is worth more the sooner it is received. From an investment standpoint, anyone with a decent amount of savings needs to invest their money today instead of tomorrow. The sooner you invest, the more your money is worth. As the rate of inflation is ever increasing, reducing the amount your dollar is worth. Savings should be invested to stay ahead of inflation and to generate passive income. A large income does not necessarily grow wealth. Income is what you make. Wealth is what you keep. Wealth is increased through investment of savings. Wealth creation allows us to spend time doing the things we enjoy most. Spending time with loved ones, enjoying activities or hobbies you have no time for, traveling. Wealth creation will give you the ability and time to accomplish or enjoy most anything you like.

Being rich vs being wealthy

Everyone wants to be rich. Not everyone knows what it takes to be wealthy.

Being rich means having lots of money. One can become rich through a number of ways, including but not limited to: professional sports, inheritance, lottery winnings, startups, many years working in a field, etc. Unfortunately, nothing lasts forever and everything comes to an end. Many of those who are rich live an unsustainable lavish lifestyle which ends up in debt and back to poverty.

Being wealthy means not only having lots of money, but knowing how to properly handle it. One of the sure ways of doing so is investing into assets that generate passive income. A wealthy person can still enjoy a lavish lifestyle and it will be completely sustainable. Wealthy people stay wealthy. A rich person can turn into a wealthy person by investing and planning. The key to sustaining wealth is having your income higher than your expenses.