The question “what is financial freedom” is a debatable topic. You might have already read hundreds of articles about the best things to do to achieve financial freedom. However, how and when could you say that you have already attained this financial freedom they’ve endlessly defining?
Say I have a hefty bank account, a stable job, my own house and car – are these enough to say that I could already check “attain financial freedom” off my bucket list? Is this the ultimate answer to the question “what is financial freedom”?
Experts say that these are better indications that you’ve achieved such goal:
You Don’t Solely Rely On Your Day Job Anymore
Let me remind you that this article is not just for individuals nearing the retirement age. Financial freedom means that you are leaving the ideal lifestyle that you’ve always dreamed of, without stressing about the source of money for the expenses. There are some who might be living their desired lifestyle, but they are racking up debts to live up to their standards. If you search about “What is financial freedom” on Google, this is the usual answer you’d get.
Your Investments Continue On Growing
Attaining financial freedom means that you have already diversified your investment portfolio and that it continues on growing. This is the reason why you don’t worry about the expenses anymore. Most individuals who have attained this kind of independence actually do not have any day job anymore. Instead, they either have their own business or they’ve let their investments generate income for them.
You Don’t Look At The Price Tags
“What is financial freedom” is one of the top searches in Google. This term, however, does not mean that you are now buying all the luxury items in the world. Instead of staying at a budget hotel that is 3 blocks away from the beach, you can now stay and book in advance that resort hotel with a beachfront view. Your idea of comfort has changed. Money is no longer a consideration in making a choice. You focus on your wants now because the needs are now well-accounted for.
You Don’t Stress Over Money Anymore
What is financial freedom if you’re still thinking about earning money all the time, right? Achieving this goal means that you don’t have to drag yourself from bed at the early hours because you have to go to the office or your salary would be deducted. It doesn’t necessarily mean, though, that you don’t have to set up an alarm once you’ve attained this financial goal. Your debts are all paid up. Rather, your purpose is not anymore money-related.
You Can Finally Pursue Your Passion
The answer to “what is financial freedom” also lies in doing what you’ve always wanted to do. Remember that career path you’ve always wanted to take but you didn’t because you know that, realistically, it would not pay well in the long run? Well, it’s time to return to that passion without worrying about the money. No matter how expensive this passion of yours is, what’s more important is the satisfaction and the joy it brings to your life.
The next time someone asks you the question “what is financial freedom”, giving the above indications would be the best answer. This ultimate financial goal is the hardest to achieve, and this is the reason why most individuals are working two jobs to earn more and to add more funds on their long-term investments.