It might be a bit of a buzzword, but financial freedom is very much attainable for people these days. The digital world has opened up so many opportunities that we can now access a dazzling array of money making options.
From crypto or FX trading, to creating your own remote business, it doesn’t matter where you are. If you can get your head around the processes to succeed then you can be on track to your own financial freedom.
But what exactly is meant by financial freedom?
The definition of financial freedom
To attain financial freedom means that you are making enough money not to need to worry about money. This means different things for different people, and is very different from ‘becoming rich’. In fact most people don’t need riches and wealth – just a comfortable income.
In fact, pining for a Lamborghini or dressing in the latest designer gear is the very antithesis of financial freedom. It’s not about vulgar displays of wealth or being showy.
Financial freedom means you can be free from worrying about your rent, you can buy the things you want and need without worrying about your next paycheck, and you don’t really have to answer to a boss.
Your level of financial freedom will differ depending on where you are in the world. For example, someone living in New York or London needs a higher income to keep the wolves from the door. Higher rent, higher cost of living and yadda yadda means they need to be making something like $10,000 a month to really qualify as ‘financially fee’. And even then, this is the bottom end of this.
On the flip side, a person in Lagos, Mumbai or Jakarta will find that $10,000 goes a lot further, and in fact $2,000 or 5,000 a month is more than enough to live a financially free life.
How do I get financial freedom?
In general, financial freedom comes from some form of self-built revenue stream. It might be running your own business, or it might be having investments.
The trick is to have a constant source of residual income that you can almost rely on.
Of course, one source of income is good. But multiple sources is even better.
On this site, we look extensively at crypto, as we do believe this makes the solid foundation for a financially free life. However, you should never put all your eggs in one basket.
Diversification and an understanding of how different revenue streams can help you build your wealth are key to financial freedom.
It’s important to realise that this isn’t about getting rich – or becoming a billionaire. We’re looking at a more zen approach than this.
To stay in control of your finances, you need to be able to master one channel, such as crypto, and be aware of other opportunities.
Some of the best ways of making a residual income are:
- Long term investments including stocks, dividends etc
- Owning assets that gain in value such as art
- A business that generates income without much input from you
- An asset that generates income without much input from you (for example, royalties from music or publishing)
Of course, the more of these the better, and with good planning, you could have all of the above.
In fact, most successful people do have all of the above. And one key part of the mindset to win financial freedom is the eye for opportunity.
Stay tuned to Playboy Cartel as we bring you the best insight and advice to help you achieve financial freedom!