What is difference between Income and wealth? Income is what you earn. Income is usually defined in terms of money. The money that an individual or business earn as their salary in returns of providing a good, services or through investing capital is called income. It involves the flow of cash. While wealth is the net worth that an individual owns. It is equal to the value of all their assets minus all their liabilities. It includes all their assets such as money, personal property and real estate. It takes time to acquire wealth from income. What is leverage? Leverage comes from root word- Lever. Lever comes from an old French word meaning “to make lighter,” which is an apt description of the power of leverage. Similar is the case with wealth. You can use a lever to leverage your money and time to turns your wealth into manifolds.
Raj's Finance 