What it is:
How it works (Example):
For instance, let's say John Doe has $30,000 of debt and has no savings. He gets a better job that pays him twice as much, enabling him to pay off his cards and start a retirement account. Finally, John is above water.
Similarly, let's say Company XYZ buys a robot for $10,000. It records the value of the asset as $10,000 on its , and then it depreciates that asset by $1,000 a year. By the end of two years, the of the asset is therefore $8,000. However, the demand for these robots has skyrocketed and they are in short supply. Company XYZ could actually sell its two-year-old robot for $15,000 -- far more than its recorded value. The robot is above water.
Why it Matters:
Above water is usually a good place to be. The phrase denotes financial stability. Its opposites are "underwater" or "treading water."