Revisiting Cash vs Cashflow: Why Cashflow Now Matters More Than Ever To Me
Back in June 2023, I wrote a blog post titled " Which Is More Essential in Personal Finance – Cash or Cashflow? ", where I explored the age-old debate between the value of having cash on hand versus the importance of generating cashflow. At the time, I concluded that both cash and cashflow are equally important, but still leaned slightly towards the security that cashflow provides, especially amid market volatility and rising uncertainty. Two years have passed since then. Along the way, my investment journey has matured slightly, my financial goals became clearer, and most importantly, I found a firmer footing on the path toward Barista FIRE, which is aiming to begin my progressive semi-retirement in phases starting next year with a part-time income and a more robust investment portfolio generating passive income. Now, as I reflect and prepare for this next life phase, I have a stronger conviction: cashflow is more important than cash, especially for someone approachi...