An asset is defined as such if it is PROBABLE that there will be an inflow of economic benefits due to ownership/existence/use of the asset amongst other criteria.
And when it comes to a house don't forget opportunity cost - the money which purchased a house could have gone towards rent over a number of years (an expense) but was instead used to buy a house (an asset) On Thu, Mar 10, 2011 at 4:26 PM, Milton Jiri <[email protected]> wrote: > Resources that can be converted to cash isn’t. > > -----Original Message----- > From: [email protected] > [mailto:[email protected]] On Behalf Of simbarashe wekwete > Sent: Thursday, March 10, 2011 4:19 PM > To: [email protected] > Subject: Re: Money and wealth > > what is an asset? > > On 3/10/11, Milton Jiri <[email protected]> wrote: > > Well the explanation of just a house isn’t an assest if I remember well > is > > that when you lease it out or sell you are now in real estate. Shifted a > > level > > > > -----Original Message----- > > From: [email protected] > > [mailto:[email protected]] On Behalf Of Simanga Madhlabuta > > Sent: Thursday, March 10, 2011 3:40 PM > > To: [email protected] > > Subject: Re: Money and wealth > > > > Heather, in reality (the house) it is an asset, I agree, but when you > > taking a financially beneficial view to it, anything that costs you > > money to keep is a liability and anything that gives you money when > > you keep it is an asset. > > > > On Thu, Mar 10, 2011 at 3:03 PM, Heather Nota <[email protected]> > wrote: > >> I understand the house is not an asset thing because it costs money to > > maintain. Is the maintenance not more of an expense than a liability. > Hanti > > it can be dissolved to produce a cashflow in the future? > >> > >> On Thu Mar 10th, 2011 12:32 AM PST Milton Jiri wrote: > >> > >>>Thanks SMA, Rob Kiosaki says a house is not an asset! > >>> > >>> > >>> > >>>From: [email protected] [mailto:[email protected]] On > Behalf > >>>Of kudakwashe kamudyariwa > >>>Sent: Thursday, March 10, 2011 8:21 AM > >>>To: [email protected] > >>>Subject: Re: Money and wealth > >>> > >>> > >>> > >>>Thanks Sma, good stuff > >>> > >>>On Wed, Mar 9, 2011 at 5:02 PM, Tinashe Musere <[email protected] > > > >>>wrote: > >>> > >>>thank you my brother thats some sound advice there > >>> > >>> > >>>On 09/03/2011, Simanga Madhlabuta <[email protected]> wrote: > >>>> You need to redefine wealth if you are serious about being wealthy. > >>>> > >>>> Redefine wealth!! In studies of millionaires, people are surprised to > >>>> learn that most millionaires aren't doctors, lawyers, and corporate > >>>> leaders with big houses and fancy cars; they're people who religiously > >>>> live below their means and invest the surplus into assets, rather than > >>>> liabilities. Know what you're investing into. > >>>> > >>>> It's an asset if it will bring you more positive cash-flows, it's a > >>>> liabilities if it will cost you additional money to keep!! Get it? > >>>> > >>>> Example: My car is a liability because it takes money from me in > >>>> running costs as well as maintenance costs. An asset vehicle would be > >>>> one that I use for extra money, e.g, if I owned a cab, it would be an > >>>> asset because of the expected cash flows. > >>>> > >>>> The idea is to match assets and liabilities and to strike a balance. > >>>> Remember, the accounting equation??? > >>>> > >>>> Regards, > >>>> > >>>> Simanga > >>>> > >>>> > >>>> > >>>> -- > >>>> God is love... > >>>> > >>> > >>> > >>> > >>>-- > >>>Best Regards > >>> > >>>Tinashe Musere > >>>Love God, love His people! > >>> > >>> > >>> > >>> > >>>-- > >>> > >>>Rgds, > >>> > >>> > >>> > >>>KK > >>> > >>> > >>> > >>>whatever it takes > >>> > >>>-- > >>>You received this message because you are subscribed to the Google > Groups > > "tribewithavibe" group. > >>>To post to this group, send email to [email protected]. > >>>To unsubscribe from this group, send email to > > [email protected]. > >>>For more options, visit this group at > > http://groups.google.com/group/tribewithavibe?hl=en. > >>> > >> > >> > >> > >> > >> > >> -- > >> You received this message because you are subscribed to the Google > Groups > > "tribewithavibe" group. > >> To post to this group, send email to [email protected]. > >> To unsubscribe from this group, send email to > > [email protected]. > >> For more options, visit this group at > > http://groups.google.com/group/tribewithavibe?hl=en. > >> > >> > > > > > > > > -- > > God is love... > > > > -- > > You received this message because you are subscribed to the Google Groups > > "tribewithavibe" group. > > To post to this group, send email to [email protected]. > > To unsubscribe from this group, send email to > > [email protected]. > > For more options, visit this group at > > http://groups.google.com/group/tribewithavibe?hl=en. > > > > -- > > You received this message because you are subscribed to the Google Groups > > "tribewithavibe" group. > > To post to this group, send email to [email protected]. > > To unsubscribe from this group, send email to > > [email protected]. > > For more options, visit this group at > > http://groups.google.com/group/tribewithavibe?hl=en. > > > > > > -- > You received this message because you are subscribed to the Google Groups > "tribewithavibe" group. > To post to this group, send email to [email protected]. > To unsubscribe from this group, send email to > [email protected]. > For more options, visit this group at > http://groups.google.com/group/tribewithavibe?hl=en. > > -- > You received this message because you are subscribed to the Google Groups > "tribewithavibe" group. > To post to this group, send email to [email protected]. > To unsubscribe from this group, send email to > [email protected]. > For more options, visit this group at > http://groups.google.com/group/tribewithavibe?hl=en. > > -- You received this message because you are subscribed to the Google Groups "tribewithavibe" group. 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