When we spend money that brings no future value, it’s consumption.
When we spend money on something that either goes up in value or makes it easier to create value now and in the future, it’s an investment.
We should not be fooled or kid ourselves as to which is which.
The higher the ratio of investment to consumption, the better.
Good morning from Chicago!
So true and I believe the corollary can be made for how we choose to spend our time.
Every young adult, everywhere, needs to understand that concept. The earlier you start to create value the better. In my experience this concept is often linked to sacrifice, which in this generation of the “instant everything”, is a pill often hard to swallow.