Strictly speaking an asset is something that has value. That can be an item, a skill, or a talent. A liability is usually used to indicate a debt, but it can be anything that costs more than it is worth. While this sounds simple, people often label a liability as an asset. This holds people back.
An example is your home. Any accountant will tell you that your house is an asset. However, the costs of maintaining the home (plumbing, repairs, painting, etc.) and the cost of operating a home (utilities, lawn care, property taxes) are generally more than the appreciation of house. When the house is sold, those costs are not taken into consideration, meaning most people lose money on their home.
Chasing after liabilities because you think its an asset holds you back. Being able to identify which is which, makes it easier for you to move forward and grow.
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