Investing in Yourself - Financial Freedom
One of the big reasons that drive those with an entrepreneurial spirit to take the big step of starting their own business is the goal of attaining financial freedom.
If the recent events in the economy have taught people anything at all, it is that when you are working for somebody else you do not have true financial security.
In fact, the steady paycheck can become a crutch that actually keeps you from stepping out on your own.
While the lure of 6-figure incomes and all of the luxuries that brings has a strong appeal, true financial freedom is much more.
Although the big income is nice, without also addressing some of the other financial problems that plague many people, you will not truly be free.
The first area that needs to be handled is debt.
Most people spend at least a portion of their income serving the fees on their debt.
For too many people, those debt fees make up one of the largest categories in their monthly budget.
The worst part is, without a concerted effort to get rid of that debt, it will never go away.
Studies and interviews of the most successful people reveal that the majority of them are debt-averse.
That means that they will avoid going into debt at all cost.
When they do have to take on debt they make every effort to pay off that debt as quickly as possible.
The next area that you need to examine is your savings habit.
The majority of people live from paycheck to paycheck without enough in savings to survive for more than one or two pay periods.
If you truly want security you should get into the habit of making savings a regular budget item.
Every time you get paid, put a portion of that money into savings.
If you currently do not have much in your savings account, try to save enough so that you have enough to survive without a paycheck for 3 to 4 months.
Once you have that in savings you can slow down your savings pace, but you should still continue to add to your savings total.
Financial freedom is about much more than just the size of your paycheck.
There are a lot of people earning a great deal of money that still are not free.
There is a tendency to spend what you earn.
When your pay level increases, so does your level of spending.
You need to resist that temptation.
You need to develop the habit of living off of a portion of your paycheck, and then saving or investing the rest.
This could be in stocks or precious metals, or even investing in yourself by increasing you education.
By taking the steps to reduce your debt and increase your savings, you will be able to experience true financial freedom even if you are not in the 6-figure income range.
When you reach a point where you can keep what you earn and not send it off to the credit card company, you will know what it feels life to be free.
If the recent events in the economy have taught people anything at all, it is that when you are working for somebody else you do not have true financial security.
In fact, the steady paycheck can become a crutch that actually keeps you from stepping out on your own.
While the lure of 6-figure incomes and all of the luxuries that brings has a strong appeal, true financial freedom is much more.
Although the big income is nice, without also addressing some of the other financial problems that plague many people, you will not truly be free.
The first area that needs to be handled is debt.
Most people spend at least a portion of their income serving the fees on their debt.
For too many people, those debt fees make up one of the largest categories in their monthly budget.
The worst part is, without a concerted effort to get rid of that debt, it will never go away.
Studies and interviews of the most successful people reveal that the majority of them are debt-averse.
That means that they will avoid going into debt at all cost.
When they do have to take on debt they make every effort to pay off that debt as quickly as possible.
The next area that you need to examine is your savings habit.
The majority of people live from paycheck to paycheck without enough in savings to survive for more than one or two pay periods.
If you truly want security you should get into the habit of making savings a regular budget item.
Every time you get paid, put a portion of that money into savings.
If you currently do not have much in your savings account, try to save enough so that you have enough to survive without a paycheck for 3 to 4 months.
Once you have that in savings you can slow down your savings pace, but you should still continue to add to your savings total.
Financial freedom is about much more than just the size of your paycheck.
There are a lot of people earning a great deal of money that still are not free.
There is a tendency to spend what you earn.
When your pay level increases, so does your level of spending.
You need to resist that temptation.
You need to develop the habit of living off of a portion of your paycheck, and then saving or investing the rest.
This could be in stocks or precious metals, or even investing in yourself by increasing you education.
By taking the steps to reduce your debt and increase your savings, you will be able to experience true financial freedom even if you are not in the 6-figure income range.
When you reach a point where you can keep what you earn and not send it off to the credit card company, you will know what it feels life to be free.
