Mastering Your Finances: Understanding and Balancing the Four Types of Expenses

I believe there’s four types of expenses. Number one, destructive expenses. And those are get rid of those. Get rid of the things that you’re paying for, you’re not utilizing. But then lifestyle expenses, you just pay cash for the things you enjoy. It’s everything from utilities to the clothes you buy to the restaurants you go to. Just don’t go into debt. The third one is protective expenses. Asset Protection, estate planning, insurances, liquidity. And the fourth one is the productive expense. I believe in mindful cash management, over budgeting.