Financial Freedom — What Does it Really Mean?

The words Financial Freedom are thrown about so much these days, one has to wonder just what it really means. While it sounds like something that everyone would want, it can mean different things to different people. Let’s take a look at a list of just some of the possibilities to help determine what financial freedom may mean to you.

What usually comes to mind first for most people is having enough money to take care of all of their expenses — plus a little more for luxuries — and not having to go to work every day for that income.

This means not having to trade your time for money, which is what the vast majority of the population does. You go to work for eight hours (or more) per day, 40 hours (or more) per week, and you make “x” dollars per hour or week to compensate you for the time spent. And, of course, all of this time is spent working for someone else’s dreams.

For others, their dream of financial freedom means being free from the mountain of debt they now carry. It’s been shown that many marriages are ending due to the stresses of financial burdens, so putting an end to their debt situation could contribute to greater happiness for many.

Perhaps you just want more time to be with your family and to pursue your own interests.

Not everyone has grandiose dreams of being a multi-millionaire with huge homes and fancy cars. Some people prefer a more modest home or car, but may long for the ability to travel to far-away places. Those who tend to be a bit less extravagant may be able to attain a level of financial freedom more quickly than those who prefer a more flashy environment.

For me, it simply means having control over my own life: being able to make my own schedule and choose what I do with my time — without having to worry if there’s enough money to do whatever I desire.

Take some time to visualize the life of your dreams. What does it look like? Where are you living? What are you doing? Who is with you?

Ultimately, YOU determine what financial freedom means to you. Once you have that determined, you will have to decide how you’re going to get there.

There are several ways to do so. You may find that you can achieve that goal on income from a business with your own product or service; you can create a big-enough nest egg that can be liquidated over a time period; or you can build a passive income that will continue to bring in money on a regular basis. It’s generally accepted that having multiple streams of income is the surest path to financial freedom.