As I’ve written in previous posts on creating wealth, becoming financially free occurs once your passive income (from a residual income business or properly managed rental income property, for example) exceeds your monthly expenses. In order for that to happen you must know exactly how much PASSIVE INCOME you’re creating each month AS WELL AS the amount of your monthly expenses. That requires tracking your income and expenses, which most people just don’t do.

Read the original:
Creating Wealth Secrets – Why Financial Discipline Is Important and How To Have It

Wealth strategy 101 is about learning how to gain control of your finances and laying the foundation for building personal wealth. While the process of creating wealth may appear daunting at first, in reality, achieving financial freedom can be reduced to a systematic process. For example, when wealth is defined as a point where income from passive and portfolio sources exceeds your living expenses, by definition, you have achieved a basic level of wealth.

More:
Wealth Strategy 101 – How to Take Control of Your Personal Finances and Build Wealth