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In contrast, wealth tends to imply something more enduring and secure, connected to assets such as investments, real estate, or businesses that appreciate over time. Wealth is characterized by the ability to maintain one's lifestyle without being dependent on a paycheck, often achieved through sustainable income streams.
The Path to Wealth: Focus on Financial Independence
To possess wealth is not strictly about having significant sums of money, like a net worth of $5 million. Instead, it hinges on having a financial framework that allows one to cover essential expenses without depending solely on earned income. Financial freedom is achieved once an individual’s income streams or net worth can comfortably sustain their daily needs.