Hi Sanjay
Good question. Yes, everything is Brahman, and Brahman is all there is. Then what is this non-Brahman of Kena Upanishad ?
[ for instance,
Kena Upanishad 1.4,5
1-4. That which the speech cannot reveal, but causes the speech to flow, know that alone to be Brahman, not this that you worship here.
1-5. That which mind cannot conceptualize , but by which the mind does conceptualize, know that alone to be Brahman , not this that you worship here.
]
Let me try from what i have learnt and understood, and others can correct me.
The Pure Consciousness and Principle of existence is Brahman' , from which everything emanates. Brahman doesn't act. This world we see and perceive is Prakruti, Mother Nature. She is an aspect of Purusha, Brahman, but not separate from Him, and is His energy.
Thru' this energy , Prakruti, Brahman projects the manifested Universe, Jagat , and pervades it entirely of course , to make the otherwise insentient, sentient .
This is how everything projected from Brahman is Brahman, just as a spider spins a web using substance from within itself.
So,
non-living objetcs of matter = gross matter, sthUla Prakrti
bodies of living beings = gross matter, sthUla Prakruti (dead matter without sentience of Brahman)
minds, senses, intellect = subtle matter, sUkshma Prakrti, yet it is Prakrti, not the Self, AtmA, not Brahman proper.
ego (ahamkAra : false identity of oneself with gross and subtle body) = subtle , part of sUkshma sharira.
innermost AtmA = Self = Brahman - untouched by matter gross or subtle, pure spiritual existence = Brahman'
This AtmA, Self, Brahman' is what we have to realize as the real 'I'.
***Trees and animals too are embodied AtmA.***
I am not the body, senses, mind, intellect, ego, thoughts, speech, achievements, opinions
I am pure existence , consciousness, eternal, stable , unmoving.
I am Sat = existence, Chit = knowledge, Ananda = Bliss
I am that same substance that pervades this appearant manifested Universe.
What about the Universe then ?
It is (gross and subtle matter as we perceive it) , transient, changing, non-permanent, fleeting, momentary if you know the word
'kshanabhangur'. Hence it is not real. It is mithya.
Mithya = transient , hence in this context , not everlasting , illusiory, not real.
Brahman satya , Jagat mithya.
Ishvar is our Creator, the highest PAraBrahman, who manifested this Universe, who looks after us, who loves us, who guides us, who stays with us.
***We are made of the same sat-chit-ananda 'spiritual substance' , the same gold , as Ishvar.***
And that gold is Brahman. The illusion , appearance is that we are a bangle, bracelet, pAyal, ring, etc. and come up with
different properties to shape our individual personality. But the truth is, we are gold. There is only one gold. One Universal Self = AmA = Brahman'.
How do we know we know what we know ?
We realize how we are that Brahman' , the gold and not the ornament.
Best thing to do is go through the forum >> Philosophy-->Advaita , and ask any questions there.
A good place to start :
Aham Brahmasmi Part One :
http://www.hindudharmaforums.com/showthread.php?t=4824
Aham Brahmasmi - 2 :
http://www.hindudharmaforums.com/showthread.php?t=4941
Hope that helps a little, and sorry about the confusion.
Namaste
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