“An asset is something that puts money in my pocket.” – Robert Kiyosaki.

Another simple quote that packs a powerful punch of financial wisdom. For example, a person’s home is often viewed as their greatest asset.  However, when viewed through the above definition, most homes are liabilities for their owners.  The mortgage payments, taxes, insurance, electric bills, and maintenance ,assure that money flows out of the owner’s pocket on a regular basis.  Moreover, the recent housing crisis has compounded the problem with decreasing home values.  Understanding the real difference between assets and liabilities is an important first step to developing a winning personal finance strategy… Tim Tansil.