Wakio Mercy is a freelancer and a professional writer for hire, who holds a Bachelors in Business Information Technology.
" A big part of financial freedom is having your heart and mind free from worry about the what-ifs of life."
— Suze Orman
For most individuals, financial freedom is having enough income to facilitate daily living expenses without undue stress. To some, however, it is affording the kind of lifestyle they desire and being able to go on a vacation anytime they'd like, retire or pursue a choice career without worrying about earning a specific salary either monthly or yearly.
Whichever category you may put yourself in, it is absolutely possible to achieve financial freedom. You might be in your early, mid or late thirties and financial freedom seems to be the only thing in your mind. You have little or no savings, zero investments and wondering if this dream will become a reality.
Why you ought to Pursue Financial Freedom
1. You are obliged to financial freedom and to no one else.
You do not owe anyone apart from yourself this kind of success. You are therefore not achieving it for your friends, family, children or spouse. As much as they are a motivation to want to pursue financial freedom, they are probably not enough a reason, otherwise you would have done it.
In this kind of a cause, you need to be your greatest motivator thus making it possible to get rid of unnecessary excuses. You must also keep in mind that only you would know when you have achieved financial freedom. This makes it is a personal goal; a decision that only you can make, so, go ahead and take the necessary steps to achieve financial freedom.
2. You care about it; that is why you worry!
If financial freedom meant nothing to you, you would not be reading this right now. As a matter of fact, financial freedom is as important to you as breathing itself. How then, would you explain the stress or research work that you pursue about the matter?
It is for this reason that you must work hard to achieve financial freedom. Turn that worry into energy that can be used constructively to reach this goal. Never give up!
3. You will have achieved more.
Being financially free means that you have overcome every obstacle that was preventing you from achieving it. This implies that you will not only have achieved financial freedom but also personal growth. You will therefore have more confidence taking up any other challenge that comes your way.
4. To pursue 'other' things in life
If you were not busy worrying about your finances what else would you be doing? Chances are that this question has never crossed your mind, and what if it has? You could be already working at what you really desire and enjoy doing. However, you may have not exploited your maximum potential thus achieving less.
If these two case scenarios apply, then giving up on financial freedom is not an option. For you will never be able to shade away the feeling of you doing more but are not!
5. You could be an encouragement to someone
Perhaps thinking that this is not your focus right now, you actually don't care if someone got encouraged or not; all you care about is getting the jigsaw puzzle right. On the other side, one could be battling with depression of debt crisis and wonder if there is a way out let alone the encouragement!
A popular saying, '' The good thing about being at the bottom is that there is nowhere else to go apart from up". This means that failure will always provide another opportunity to succeed as long as you are willing to learn from your mistakes. Thereby, making you the perfect person to encourage another person.
How to Achieve Financial Freedom
1. Have a financial plan.
Failure to plan is planning to fail; a cliche that is true to date. A financial plan includes a budget that reserves income for future spending and saving. It not only focuses on current spending but anticipates risk and things like retrenchments and retirement.
2. Pay off your debts
This may include; student loans, house mortgage, car loan etc. Create a debt payoff plan. Clearing your debts will release you to make bigger financial strides towards your freedom.
3. Trim your budget and/or Increase your income
This follows the principle of getting out of your comfort zone. Trimming your budget will include living strictly within your means, avoiding unnecessary adrenaline purchases and using cash or debit cards. It also implies looking for other creative ways to supplement your income.
4. Save a huge portion of your earnings
After trimming your budget save the 'excess' income. From the savings, a portion can be allocated to cater for an emergency fund and any other necessary future allocations. Ensure that your disposable income only includes mandatory spending.
5. Engage a financial advisor
Engage a financial advisor to help you track your progress and check if you are still in line with your financial goals. A financial advisor will also help to know what kind of investments to make and when. This will prevent unrealistic goals as well as safeguard from unwanted risks.
Anyone can achieve financial freedom as long as they are determined to work diligently towards it. However, you will need to implement a few mechanisms so as to achieve this goal as well as steer clear from others. One cannot keep doing the same things over and over again yet expect different results.
Each healthy habit adapted along the way will keep you moving forward.
This content is accurate and true to the best of the author’s knowledge and is not meant to substitute for formal and individualized advice from a qualified professional.
© 2020 WakioMercy
Gloria Awuor Wandera on August 14, 2020:
Nice read, Mercy. This article has given me alot to think about concerning my financial management.
David Hillary on August 13, 2020:
Wow! Such a wonderful article here.