Are you tired of feeling chained to your finances, living paycheck to paycheck, and struggling to make ends meet? It’s time to take control of your financial situation and unlock the incredible benefits of financial freedom.
Financial freedom is not just about having a large amount of money in the bank. It’s about having the ability to live life on your terms, free from the constraints of financial stress and worry. It’s about being able to make choices based on what you want, rather than what you can afford.
In this blog, we’re going to explore the top 5 jaw-dropping perks of achieving financial freedom. From having the ability to travel the world to enjoy a stress-free retirement, you’ll discover how financial freedom can completely transform your life.
First, we’ll delve into the power of financial independence, discussing how it can give you the freedom to choose how you spend your time and make career choices based on passion rather than salary. We’ll also explore the benefits of being debt-free, including the relief of financial stress and the ability to make decisions based on what you truly want.
Next, we’ll take a deep dive into the incredible advantages of having a healthy retirement fund. With the rising cost of living, having financial security during your golden years is more important than ever.
But that’s not all. We’ll also explore how financial freedom can give you the opportunity to pursue your dreams and passions, and even leave a legacy for future generations.
So, what are you waiting for? Let’s dive in and discover the amazing perks of unlocking financial freedom today.
What is Financial Freedom?
In essence, financial freedom means having enough wealth to cover all of your living expenses for the rest of your life, providing peace of mind and eliminating financial stress. While there is debate over how much money is required to achieve this, a general rule of thumb is that having 35-40 times your yearly expenses is considered financially free. You can learn more about the 30X retirement rule here.
But why should you strive for financial freedom early in life? In this article, I’ll discuss the top 5 reasons why I believe it’s important to aim for financial independence by the time you reach your mid-40s or early 50s.
5 benefits of Pursuing Financially Freedom
Benefit #1: To buy Freedom in Life
We all labor all hours of the day and night to make money. The money covers all of our costs. Rent, food, school fees for your children, and healthcare costs. Everything.
If money is not everything in life, it is certainly a very important factor!!
Many people do not feel FREE in their lives. They become money slaves because making money becomes their major aim in life.
- They can’t say NO to their work
- They can’t say NO to the schedules
- They can say NO to their bosses
All the time, money dictates their life and decisions.
Sufficient money in life can give you a lot of freedom.
- Freedom of when to work
- Freedom of with whom to work with
- Freedom of when to wake up
- Freedom to take long vacations.
You name it and you can feel freedom in that area
If you want to experience a lot of freedom in life in various areas, you shall work towards financial freedom.
#Benefit 2: To bring more power to your career
A lot of people have this myth that one shall achieve financial freedom so that one can quit their job and retire from work.
One has to reach financial freedom so that one can bring more energy and power to their career or anything new that one wants to truly do in life.
Most people have to do things in life with the primary motive of earning money and not because they wish to do it.
- Do you feel that the new project in your company is quite exciting, but does not pay enough? What do you do? Forget it!!
- You feel you really enjoy taking risks and doing something challenging in your workplace, but wait.. what if it fails and you are fired or do not get promoted next year? You forget it and you focus back on things that are “SAFE” for your career.
We are continuously looking for ways to boost our compensation package, even if it means avoiding activities that we would like to do if money were not an issue!
When the money component is gone and you have to do things just for the love of working and reaching greatness, your job takes on a completely new vitality. You achieve more quickly, and your job happiness grows. This is the actual method of working, but it does not happen for most people since MONEY stands in the way of what you truly want to achieve in life.
#Benefit 3: More flexibility to pursue other passions
Financial Freedom also gives you the freedom to pursue any longer due to passion that you were not able to fulfill while in the regular job.
“What will you do once you are financially free?” I ask our workshop participants. I receive some unusual responses, such as
- I will become a music teacher
- I would like to run a restaurant
- and even I would like to become a scuba diving instructor
The compulsion of “earning money” has crushed a lot of dreams and financial freedom is that point where one can explore those new careers or opportunities.
#Benefit 4: Reduced stress and worry about money
This is a no-brainer.
Ask the question to yourself right now. If you lose your job and are never getting another one again, how many years’ worth of expenses do you currently have?
- 3 yrs?
- 10 yrs?
- or 2 months?
And wait!.. What about repaying all your outstanding home loans, and funding the expensive education of your children on top of that?
It’s quite scary, right?
We are all concerned about the future since we do not have enough money.
The day you have enough money to support everything and live comfortably is the day you feel really safe and at peace. Money does not solve all issues in life, but it does solve MONEY problems:)
#Benefit 5: Pass a strong Legacy and build generational wealth
- Your grand-parents worked for money
- Your parents worked for money
- You now work for money
Where is your generational wealth? Do you have a family legacy that takes care of at least the basics of your family?
You will see various families that work towards generational wealth. They have enough money which produces income for the family, be it some business, equity wealth, real estate wealth, or whatnot!
But a lot of families are not able to create it because they don’t have an attitude like that. They earn and finish the money and at the family level, they always are in that never-ending cycle.
If you achieve financial freedom early in life, there is a good chance that you may put seeds of generational wealth, but you also have to ensure that you teach the right attitude towards money to the next generation.
I have kept a very simple version of financial freedom for this article. This topic is quite deep in reality.
Do let me know if you liked this article and if you can add any more benefits of financial freedom?