This is a simple how to for anyone wanting to be financially literate.
The simplest, most basic thing anyone can learn (and indeed, any 5th grader SHOULD be taught this and know it for life, but sadly, this usually is not the case)
Is Cashflow.
Let me explain.
Income - Expenses = cashflow.
So your money, minus your bills (including taxes, costs of living, rent, etc) = Cashflow, (or, whats left!)
So, if you make 10,000 a month, and you spend 9,900, your cashflow (amount you saved, and are able to invest) is 100. Not very impressive, even if you THOUGHT you were making a lot of money.
It's all about the Cashflow.
With a 'cashflow' of 2,000 or more, its possible to retire within as little as 2 years, as much as 5-10 (this is for an 'average to above average income, if you want more, it may take longer) but its fairly safe to say if you can put away 2grand a month for 3 years and invest it in rental properties, you'll never have to work again in your life.
Hope this helps! For more detailed information, check out my other post -
Dustin



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