We have our eyes set on financial goals that we believe can allow us to achieve anything we truly desire to achieve.
We have money goals that would mean we can do anything we would like with our money without the fear of it running out.
It has become a norm for people to set crazy financial goals, goals that are seemingly impossible to achieve yet hold so much value that they define freedom.
Goals that mean that if they don’t end in “-illion”, they are just not big enough. We believe that if the goal is not big enough, it will not define our financial freedom.
Financial freedom is the term we have coined as the ultimate financial goal. We casually use the term without always understanding exactly what it means.
What is financial freedom really, and when does one know when they have achieved it?
Additionally, after one has achieved it, should it be achievable, where does one go from there? Is it a matter of meeting your goal and embracing it at that level for the remainder of your life?
Financial freedom has been defined as having enough savings, financial investments and cash to afford the life we desire for ourselves and our families.
This definition begs the question of just how much enough is, and how much it takes to get comfortable and consider yourself financially free. In whatever way it is defined, financial freedom should mean that one has control over their financial choices.
The thought that you are only financially free when you have reached a specified amount of money is a dangerous one. Financial freedom is more about your ability to make the money, use it to make money and derive as much value from it as possible than it is about having a certain amount of money in your bank account.
Financial freedom will look different for each person, it is ultimately determined by what an individual considers important.
Understanding that there is no cap to financial freedom, and better yet that financial freedom is defined on an individual basis, takes the focus away from the, “how much” and places it on the “how can”. The truth is that the financial freedom cap is determined by the level at which the “how can” thought is applied.
Should the answer be driven by goals that are beyond what one can achieve, and see come to fruition in their lifetime, thinking that is beyond oneself, the level of financial freedom that you achieve will be beyond you.
It takes discipline, control and determination to reach your definition and cap for financial freedom, which is why it is often referred to as a financial freedom journey. We should however be careful not to allow ourselves to be imprisoned by the journey to financial freedom and miss out on the chance to embrace it and make it worthwhile.
*Justine Domingues is an aspiring CA (NAM) with a drive to make financial education widely available. She is the founder of Financial Zula, a Youtube channel that focuses on making financial education available. For more information, please check-out “Financial Zula” on Youtube.