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886: How to Buy a Car, Part 3: Decide How Much to Spend

Radical Personal Finance

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How to Build Wealth Using Your Net Worth

Most people with a hundred thousand dollar net worth are not calculating their wealth based upon their net worth. If your income, if your assets increase by five %, they're in to increase by 250000 dollars. So you're still going to be building wealth over time. You can choose at some point to go ahead and start consuming assets. But if you want to continue growing your net worth, the number is five percent of your net worth.

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