How to Get Financial Freedom Unlocked at Any Income Level Today
The alarm clock screams, jolting you awake. But the pit in your stomach isn't just from sleep.
It's the familiar dread of another Monday. Bills are piling up, your car needs repairs, and this year’s summer vacation feels like a distant fantasy.
You spend the day on autopilot, the financial worries gnawing at the back of your mind. Sounds familiar? Me too.
Millions of us face this Monday morning struggle. But what if it didn't have to be this way? Imagine waking up without that financial burden, free to pursue your passions and live life on your terms.
That's the power of financial freedom, and achieving it is within your reach.
But how is it possible to get financial freedom at any income? Let’s find out.
Financial Freedom According To Tony Robbins
A. Why Chase Financial Freedom?
Have you ever thought of a life where you choose when to work, not the other way around? You pursue projects that ignite your passions, not just pay the bills.
This, according to Tony Robbins, is the essence of financial freedom; working because you want to and not because you have to. Financial freedom unlocks this power of choice.
You need financial freedom because it liberates you from the constraints of money, allowing you to pursue your dreams, enjoy peace of mind, and live life to the fullest.
While it brings a sense of ease and eliminates constant financial worry, it's about more than just money. It's about building a life aligned with your values and aspirations.
Why You Need Financial Freedom
I vividly remember a moment that crystallized the importance of financial freedom in my own life.
It was a Tuesday morning, and I was rushing to get ready for work when my daughter came to me excitedly, 'Daddy, can we go to the park?' Her eyes were filled with anticipation, eagerly awaiting my response. But in that moment, I felt a pang of regret—I realized that I didn't have the freedom to say yes without hesitation.
My work commitments dictated my schedule, leaving me feeling powerless to prioritize the moments that truly mattered. I know I broke her heart that day, but it hurt me even more.
That missed opportunity at the park became a turning point. I made a decision—to find out how I could get financial freedom regardless of my income. Not just for myself, but for my family, too.
I wanted the freedom to choose when to work and when to spend quality time with loved ones. I wanted to pursue projects that fulfilled me, not just cover my monthly expenses.
B. How Much Money is Enough to Get Financial Freedom?
I often hear this question: "How much money do I need for having financial freedom?" The truth is, there's no magic number. What may be considered 'enough' for one person may fall short or exceed the needs of another.
Just as we wouldn't expect everyone to wear the same size shoes, we shouldn't expect everyone to strive for the same financial goals.
It is more of a personal journey, and the amount of money you need will vary depending on your lifestyle preferences, family obligations, career aspirations, and desired standard of living.
Take my friends, Joshua and Matt, for example. Joshua has a high-paying corporate job. He drives a fancy car and lives in a luxurious apartment.
Yet, despite his impressive salary, Joshua feels trapped. Long work hours leave him with little time for his family or hobbies. He constantly worries about keeping his job and maintaining his expensive lifestyle. Is Joshua truly financially free?
On the other hand, Matt earns a more modest income working as a freelance photographer.
He doesn't own a lot of material possessions, but he prioritizes travel and creative pursuits. He has a flexible schedule, allowing him to spend time with loved ones and pursue his passion for photography.
Both Joshua and Matt earn different amounts, but from their perspectives, who has achieved "financial freedom"?
Financial Freedom is The Freedom of Choice
These contrasting examples show that financial freedom isn't just about the amount of money you have, but also about the choices your money allows you to make. Naval Ravikant, an entrepreneur and investor, perfectly captures this idea.
““I don’t care how rich you are. I don’t care whether you’re a top Wall Street banker. If somebody has to tell you when to be at work, what to wear, and how to behave, you’re not a free person. You’re not actually rich.””
C. 10 Steps to Get Financial Freedom
Forget the myth of a high-paying job being the only path to financial freedom. With smart planning and consistent effort, you can take control of your finances and unlock a life of freedom, regardless of your current salary. Here are 10 actionable steps to get you started:
10 Steps to Financial Freedom
1. Track Your Spending
“You can’t control what you can’t measure.”
Jacob loves his job, but his money seems to vanish each month. He budgets, but it feels there’s never enough left at the end of the month. This happens to a lot of people.
The truth is, without awareness, it's difficult to control your finances. As Benjamin Franklin, a renowned polymath of the 18th century, once said:
“Beware of little expenses; a small leak will sink a great ship.”
Awareness is the first step to change. Track your income and expenses for a month to understand where your money goes. Here's how you can do it:
Gather your financial statements: This could include pay stubs, bank statements, and shopping receipts.
Choose your tracking method: There are plenty of free budgeting apps available that can simplify the process. Alternatively, you can use a simple spreadsheet or even a pen and a notebook.
Track everything for a month: This includes income (salary, side hustles) and expenses (rent, groceries, entertainment, etc.). Be honest and record every single penny spent, no matter how small.
Once you've tracked your spending for a month, you'll be surprised where your money might be going.
This will allow you to identify areas to cut back and start taking control of your finances. Remember, knowledge is power.
The more you know about where your money goes, the more empowered you are to make informed financial decisions and get closer to your financial freedom goals.
2. Reframe Your Budget
Creating a realistic budget helps you allocate your income towards your needs, wants, and financial goals.
It empowers you to allocate your hard-earned income towards the things that truly matter. To reframe your budget for financial freedom, follow these simple steps:
Gather your income and expense data: Use the information you collected from tracking your spending from the previous step.
Categorize your expenses: Separate your needs (housing, food, utilities, transportation) from your wants (latest gadgets, dining out, subscriptions).
Prioritize ruthlessly: Allocate a realistic amount for essential needs first. Also, factor in savings and debt repayment. This might require making some tough choices, but remember, temporary sacrifices lead to long-term financial security.
By differentiating between needs and wants, you gain control over your spending.
Challenge yourself to find creative ways to fulfill your wants that don't break the bank. For example, explore free or low-cost entertainment options like visiting museums on free admission days or checking out books from the library instead of buying them.
3. Automate Savings and Bills
Remember the fable of the grasshopper and the ant? While the grasshopper frolicked all summer, the wise ant diligently collected food to prepare for winter.
Financial freedom is about adopting the ant's mentality – planning and consistency are key.
In the 1920s, a best-selling book titled "The Richest Man in Babylon" by George S. Clason offered timeless principles for financial success.
One of these principles is the concept of "paying yourself first." This strategy, just as relevant today as it was nearly a century ago, encourages prioritizing savings before you even start spending.
Here's how to automate your finances so you can have financial freedom at any salary:
Harness the power of automation: Most banks and financial institutions offer automatic transfer options. Schedule a portion of your paycheck to be automatically deposited into your savings or investment accounts on payday.
Think of it as "paying yourself first": By automating savings, you ensure you prioritize your financial future before expenses eat away at your income. This sets you on autopilot towards your financial freedom goals.
Set up automatic bill payments: Avoid missed payments and late fees by scheduling automatic payments for recurring bills (rent, utilities, etc.). This eliminates the stress of remembering due dates and keeps you financially organized.
Imagine the peace of mind that comes from knowing your savings and bills are taken care of automatically.
Automation removes the temptation to spend impulsively and ensures you're consistently working towards your financial goals.
4. Embrace the Power of “No”
Have you ever felt the pressure to keep up with the latest trends or participate in expensive outings that leave you feeling drained, both financially and emotionally?
Financial freedom isn't just about earning more; it's also about mastering the art of saying "no."
Amish communities are known for their simple and self-sufficient lifestyle. They prioritize needs over wants, focusing on producing most of what they consume. While their way of life might seem extreme, it embodies the core principle of intentional living – consciously choosing how you spend your time and resources.
So if you want to get to your financial freedom goals faster, don’t be afraid to say “no”.
Practice polite assertiveness: Learn to decline invitations or requests that don't fit your budget with a gracious "no, thank you" or "I appreciate the invite, but it's not in my budget right now." Suggest alternative, more affordable activities or offer to meet up another time.
Challenge societal pressures: Don't feel obligated to keep up with the Joneses. True friends appreciate you for who you are, not your spending habits. Focus on building experiences and relationships that bring you joy, not fleeting trends.
Saying "no" to unnecessary expenses frees up resources to pursue your passions and invest in your future. Financial freedom is about having choices, and learning to say "no" empowers you to live a life that aligns with your values, not societal expectations.
5. Become a Savvy Shopper
As the saying goes, "a penny saved is a penny earned." Well, when it comes to financial freedom, every penny counts!
One of the ways to achieve financial freedom is by being a savvy shopper.
It allows you to stretch your finances further and utilize them towards your financial goals. Here are some strategies to transform yourself into a mindful shopper:
Plan your meals and create a grocery list: Impulse purchases are the enemy of a frugal shopper. Planning your meals for the week, creating a list, and sticking to it will prevent unnecessary purchases at the store.
Look for discounts: Utilize grocery store flyers, coupons, and loyalty programs to score the best deals. Many stores offer digital coupons that can be easily loaded onto your phone.
Consider generic or store brand options: Generic brands often offer the same quality as name brands at a fraction of the price. Do a taste test and see if you can tell the difference!
Bulk up on savings: Buying in bulk can be cost-effective for frequently used staples like rice, beans, or paper towels. However, only buy in bulk if you have the storage space and will use everything before it expires.
These seemingly small choices – careful planning and smart decision-making – add up to a surprising amount of money you can invest in your financial future.
6. The Side Hustle
Financial freedom is more than just tightening your belt. It's also about exploring ways to increase your income. The good news? This doesn't have to involve a full-time second job! The "side hustle’ allows you to leverage your skills and resources to bring in extra cash. And for that, you can:
Freelance your skills online: Are you a whiz at graphic design, writing, or translation? Offer your services on freelance platforms to businesses or individuals worldwide.
Sell your creations: Do you have a passion for crafting jewelry, painting, or baking? Turn your hobby into a side hustle by selling your creations online or at local markets.
Monetize unused resources: Have a spare room sitting empty? Consider renting it out on Airbnb. Do you own a car you rarely use? Explore car-sharing services. Every bit extra adds up on your journey to get financial freedom.
Lena Meyer-Landrut, the German singer who won the Eurovision Song Contest in 2010, isn't just known for her musical talent.
She's also an entrepreneur with a successful side hustle as a fashion designer. Her clothing line allows her to express her creativity and generate additional income, showcasing the power of leveraging one's talents beyond their primary career.
With a net worth of $5 million, she's a prime example of how pursuing multiple passions can lead to both financial and creative success.
7. Build Your Financial Literacy
Imagine navigating a maze blindfolded. Financial planning without financial literacy can feel just as disorienting. As Alan Greenspan, former chairman of the Federal Reserve, once said:
“The number one problem in today’s generation and economy is the lack of financial literacy.”
To boost your financial IQ and become a money management master, you can:
Start with the basics: Learn about budgeting, saving, investing, debt management, and various financial products. There are countless resources available online and through libraries.
Embrace continuous learning: The world of finance is constantly evolving. Stay up-to-date by reading financial news articles, listening to podcasts, or attending workshops.
Find a mentor: Consider seeking guidance from a financial advisor who can personalize your financial plan based on your goals.
Learn from the successes (and failures) of others: Read biographies and watch documentaries about successful investors or entrepreneurs. Understanding their financial strategies can provide valuable insights for your own journey.
8. Know Your Why
Financial freedom is a marathon, not a sprint. There will be times when sticking to your budget or saying "no" feels like a struggle. That's why having a clear understanding of your "why" is important.
As financial expert Natalie Bacon says:
“Knowing why you want financial freedom is just as important as knowing how. It’s the ‘why’ that will fuel your motivation when the going gets tough.”
Your "why" is the personal purpose that drives your financial goals. Is it to be an active, more available parent? More time for travel? The freedom to pursue a passion project? Write down your "why" and keep it somewhere visible as a constant reminder.
Having a clear and compelling "why" keeps you focused and energized on your financial journey.
It reminds you why you're making sacrifices today and keeps you determined to build a brighter financial future. So, dig deep, find your "why," and watch it become the powerful force propelling you towards financial freedom!
When setbacks arise, revisit your "why" and remind yourself of the amazing future you're building. It'll reignite your determination and keep you moving forward.
9. Plug Your Money Leaks
Have you ever heard of the "Latte Factor"? Financial expert and the author of The Automatic Millionaire, David Bach coined this term to describe the surprisingly significant impact of small, everyday expenses.
These seemingly harmless purchases can quietly drain your wallet over time. Think about your daily $5 coffee habit – that's a whopping $1,825 a year! It can be a hefty chunk of debt repayment or a nice boost to your savings account.
But how do you identify and plug those money leaks?
Challenge yourself to cut back: Choose one or two areas to cut back on and redirect those savings towards your financial goals. Could you brew coffee at home, pack lunch, or downgrade a cable plan?
Beware of the Latte Factor: Identify small, regular expenses that might seem insignificant but add up over time. These can be daily coffees, impulse purchases, or unused subscriptions.
Redirect your savings: Every dollar saved from a plugged leak is a dollar you can allocate towards your financial goals. Put those savings towards your emergency fund, debt repayment, or investments.
Small changes, when consistently applied, can lead to big results. So, take control of your spending and watch your financial freedom journey accelerate!
10. Negotiate Everything
“The only failure is not to try.”
This George Clooney motto applies perfectly to negotiation – you miss 100% of the shots you don't take. Negotiation isn't just for car dealerships; it's a valuable skill that can save you money in many aspects of your life.
To be a astute negotiator:
Do your research: Knowledge is power. Before any negotiation, gather information about typical rates or prices. This equips you to make a strong case for what you deserve.
Be confident and polite: A firm but friendly demeanor is key. State your request clearly and be prepared to back it up with evidence (like salary data for your position).
Be willing to walk away: Don't be afraid to politely decline an offer that doesn't meet your needs. Knowing your bottom line and being comfortable walking away gives you leverage in the negotiation.
By learning how to negotiate, you can unlock significant savings and ensure you're getting the best possible value for your money.
All you need is a little preparation and a confident approach. So, don't be afraid to speak up and negotiate!
D. Decyz POV on How to Get Financial Freedom
At Decyz, we believe that financial freedom isn't just about having more money; it's about having more choices, more opportunities, and more control over your life.
Financial freedom should allow you to pursue your passions and activities of desire unconstrained. You have the power to make it happen. it’s going to take time but it will happen. You can initiate financial freedom without a job by following the key principles and tips.
The intent is to give you a roadmap, equipping you with the knowledge and strategies to navigate your journey to financial freedom regardless of your income. Now, it's time to turn inspiration into action!
Keep your dreams blazing bright! Focus on your goals with laser focus, and take consistent steps every day to bridge the gap between where you are and where you desire to be. Remember, even small victories pave the path to big wins. Every effort you make counts, so celebrate them all!
