Investing

Four Wealth Building Tools

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Overview

In this lesson, you’ll learn the difference between net worth and income. Net worth is calculated by subtracting liabilities from assets. It’s important to understand that wealth isn’t just about how much money you earn, it’s about how well you manage what you have.

Big Idea

True wealth isn’t just about income. It’s about smart money management, saving, investing, and avoiding debt to grow your net worth over time.

Guided Questions

  • What is risk diversification? 
  • What is the difference between net worth and income? 
  • What types of assets can you own?

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