As shown in the following X-Curve,a person’s responsibilities
generally decrease and
wealth generally increases over time.
As ordinary people who are young, the income is usually low. When we grow older and get married, we will have commitment. When having children,we have more commitment; when we have new cars and purchase a house, again even more commitment is added. let along the education fund for kids, and savings for our future retirement. Obviously we keep adding responsibilities to our life over time.During this period, we are not rich enough, especially when we are younger, and feel less secure. The top priority of our responsibility is to take care of our family;our most valuable assets are not our car, not our house, nor our jewelery but ourselves, the human! Because it is ourselves who can take all these responsibilities; it is our ability that can create and build our wealth.
As we get older, our children grow up, our mortgage may be paid off and our responsibilities decrease. Therefore we won’t need as much protection through insurance any more. During this period, our wealth may have been accumulated. What we should have is protection for the wealth and retirement savings we’ve accumulated,i.e. take care of our own future.
In a word, we need take care of our responsibilities
while building our wealth.
