Knowing and estimating you cash flow is important to plan your investments.
In simple terminology cash flow is the amount of cash which flows towards you
(or away from you) after deducting all the expenses. e.g: if your monthly
salary is Rs 10000 and if you have expenses of Rs 3000, then you have a positive
cash flow of Rs 7000 for the month.
The salary you earn is not important. You may earn a huge six digit salary per month, but if your expenses are huge, your investment potential is nullified.
Cash flow is the overall picture of your personal economic health. Make sure you scrutinize your cash flow estimations to throw away the unnecessary expenses thereby augmenting your investing potential.
The salary you earn is not important. You may earn a huge six digit salary per month, but if your expenses are huge, your investment potential is nullified.
Cash flow is the overall picture of your personal economic health. Make sure you scrutinize your cash flow estimations to throw away the unnecessary expenses thereby augmenting your investing potential.
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