The stock market may seem like a big, frightening beast, but once you learn how it works, investing in stocks isn’t nearly as scary as you might think. We break down what it is, why it’s a good idea to invest now, how to pick your investment strategy, and pitfalls to avoid.
The stock market and the economy are not the same. The economy is the production and consumption of goods, while the stock market is a collection of shares of public companies. The economy is much larger than just the stock market.
While active income is earned in exchange for your time, passive income is earned from owning income-generating assets. Having both is a great way to build wealth, but many income sources widely thought of as ‘passive’ might actually take a considerable amount of effort to get off the ground.
Pay off your debt by committing to not taking on new debt, getting organized, earning more, and paying down one debt at a time.