Am I Financially Free? Do I Have Time Freedom?
We must ask ourselves these questions on a daily basis. Why is Financial Freedom so important? Because through Financial Freedom, we can achieve the ultimate dream: Time Freedom.
Here at MoneyByRamey.com, we define Financial Freedom as the: "ability to live on passive income sources earned through active income efforts, all with the goal of building self-sustaining cash flow systems."
Translated, this means building businesses and investing into vehicles that earn money for us while we sleep. And why do we work so hard to become Financially Free? So that we can have the Time Freedom to do whatever we want in this life.
Think about this for a second: we all get the same amount of time in day: 24 hours, 1,440 minutes, 86,400 seconds.
No one person has more time than another. We are all united by the same limitations of Father Time. So why is it that some struggle so much to make use out of the time we have been given?
For most of us, it comes down to a matter of priorities. We look to spend now, rather than save for later. It is much easier to buy that thing instead of putting money away to let our hard-earned capital work for us. By not practicing the Formula For Financial Freedom or the Rules of Financial Plenty, we fail to reach a point where we no longer have to trade our hours for pay.
By not saving or investing, we are voluntarily committing to a life of servitude. It does not have to be this way.
We can be free.
And we can love our work.
We can experience a life that is spent pursuing our interests and our goals without the fear of where money will come in tomorrow.
The Path to Financial and Time Freedom
The path to Financial and Time Freedom is simple, but not easy. It requires discipline, courage, tenacity; everything you have. The system will be challenging to begin but once you start, momentum will be on your side. After the hard work is done, you will begin to see the fruits of your labor. Your income will be on autopilot.
Where Do We Begin?
Begin by contemplating what it would mean to be Financially Free. Keep in mind that my personal definition of Financial Freedom doesn't have to be yours.
Even though my goal is to never be locked into only one income source, your definition of Financial Freedom could be paying down the mortgage 10 years early, having $200k in emergency savings built up, or retiring when you're 50.
When defining your meaning, also maintain a 'brick-by-brick' mentality approach to success.
Have a BHAG (Big, Hairy, Audacious Goal) after which you seek, and break it down into smaller increments. So you want to retire by 45? Totally doable.
What can you do this year? This month? This very DAY to achieve that goal? Develop a plan, work the plan, and success will be yours. We are here to help you achieve your dream. I love teaching, I love writing, and I love finance; being able to combine these all into a place where I can freely share my learnings and hopefully inspire some of you along the way, is a true blessing.
Whatever your definition of Financial Freedom happens to be, I trust you will find the resources necessary to help build your financial acumen to get to where you want to go.
One more thing: we capitalize Financial Freedom to show the importance of the phrase. Our commitment to this feat is something to be respected and admired for we are on a path separate from most. Financial Freedom, which allows us to achieve Time Freedom, is what this journey is all about.
Welcome to the path - see you at the top.