Cash Flow vs. Net Worth

When it comes to personal financial prosperity, cash flow is the single most important signal of our financial health. So, what is Cash flow? Cash flow is the combination of the amount of net income a person earns and the real movement of that money. It is also a payment and the sustainability of that payment. We generate income in numerous ways such as ongoing salaries, real estate or proceeds from inventions. Cash flow can be measured in an income statement.