THE Financial Independence Guide (Read Now To Master Money) | Wildchildretire

Tired of that 9-5 and want to know how to achieve financial independence so you can live the good life?

We will help you reach that goal.

Here, we’ll show you how to become financially independent with 3 simple steps.

In fact, these are the exact steps my wife and I have used to become 1st generation millionaires, small business managers, owners of 3 rental properties, and on track to achieving financial independence by the age of 40.

So if you are wondering how you can achieve a 50% savings rate, and be successful in real estate and the stock market, check out the helpful blog below.

Let’s dive right in.

What Does Being Financially Independent Mean?

Achieving financial independence is when an individual has enough passive or semi-passive income to essentially do as they please in life. Specifically, they have enough income coming in monthly to cover the primary, routine expenses (i.e., housing, groceries, insurance, phone bill, internet, etc.).

Here is an example:

Jonny Dough Moneybags has 3 rental properties with a net cash flow of $5,000 monthly. He has a net expense of $4,000 a month. That would leave him $1,000 a month to do as he pleases.

Jonny Dough Moneybags has reached financial independence. He relies on himself/semi-passive income to pay for his living expenses. He does not depend on others (a regular 9-5 at Best Buy or Food Lion) to pay his bills.

Johnny Dough Moneybags wakes up when he wants. He takes naps when he wants. He goes to bed when he wants.

Johnny Dough Moneybags has the time to do what he always wanted, ANYTHING! (For the most part .)

That’s financial independence. Having enough funds in life allows you to find your passion or purpose.

Do you still need some convincing as to why you should pursue financial independence?

Maybe this will help…

Why Is It Important To Achieve Financial Independence?

1. More time with your family. You no longer have to commute 2 hours in traffic to and from work. You don’t have to miss your kid’s soccer games or dance recitals. You can now spend more time with your spouse or partner.
2. Better Health. You can cook meals at home instead of eating out when you have more time. You can exercise more often. You can get more sleep. 
3. More Travel. You can see the world. You can visit different countries. You can experience new cultures. 
4. Find a passion or hobby. Maybe you have always wanted to learn how to play the guitar. Perhaps you wanted to start a business. Now is your chance. 
5. Build Generational wealth. You can now pass on your knowledge and wisdom to your children and grandchildren. You can help them start their own businesses. You can pay for their education. Financial independence gives you the ability to change lives.

How Do I Become Financially Independent? (3 Simple Steps)

Financial Independence consists of three domains: Make Money, Save Money, and Invest Money. Make Money can come from your current 9-5 or maybe a side hustle. Learning to understand and execute a budget is crucial in the Save Money domain. Finally, in the Invest Money phase, you must learn to grow your hard-earned income via investment vehicles such as real estate or mutual funds.

1. Make Money

Your 9-5

Per statista.com, in In 2020, about 123.19 million people were employed on a full-time basis. Businessinsider.com shows that the average full-time American worker earns an annual salary of $44,720. Zippia.com shows that the average person works 34.4 hours per week.

Here’s a quick, achievable Financial Freedom scenario with those numbers:

First, 20-year-old Barista Bob gets a job at star bucks. Earns the above salary of $44,720 and loves the job and financial security so much that he decides to spend the next 20 years working there.

Barista Bob is also an awesome saver who saves 50% of his paycheck.

Barista Bob also invests in Starbucks and earns an 8% return annually.

Fast forward to the future, 40-year-old Barista Bob has roughly over $1,000,000.

Above is proof that a 9-5 can get you to financial freedom or even early retirement.

You just need to stay focused, dedicated, and consistent.

Blogging

Blogging is a lucrative industry.

You have to just give it a try.

A snippet from fitsmallbusiness.com shows that most bloggers start their own blogs to express themselves and share something they’re passionate about. It’s not uncommon for people who blog, especially those new or starting out in the industry can make around $200-$2k per month after one year of blogging on an established site with effective monetization methods like advertising which could lead up to earning 7 figures annually!

That is one of the reasons I am blogging. So I have the opportunity to earn a living and spend quality time with my kids as they grow.

If you are interested in starting your own blog (YOU CAN, take 10 minutes jotting down what you are good at or what people said you are good at and execute!), check out Bluehost.com. I personally use Bluehost and have been blown away by the ease of use and customer service. Also, they ONLY charge $2.99 a month to start your own website! So pick a subject, write about what you love, and start making money!

Free Lance writing

Ziprecruiter.com states that as of Nov 14, 2021, the average hourly pay for a Freelance Writer in the United States is $30.39 an hour.

If you’re looking to try freelance writing, you should try Freelancer.com.

The Freelancer.com site provides an efficient way for people from around the world to find jobs they need to do, as well as skilled freelancers looking themselves up for opportunities where there’s demand but not enough supply!

2. Save Money

Change Your Mindset

Yes, money does rule the world. Yes, money can solve some problems if you don’t have it.

But, for those who barely get by, how do we start accumulating wealth. And making millions for those who don’t make millions?

It takes time!

Let’s do some math:

Census.gov states that the average income as of 2020 was $67,521.

Stattista.com shows that the average savings rate in 2021 was 19.9%.

So let’s see, $67,521 * 19.9% equals $13,436.679, divide that by $1,000,000 gives you…

74.42 years!

It takes over 74 years to be a millionaire!

(You can reach that way faster if you go against the grain. Lessons to be had in the future blogs.)

So with all that time, how do you stay focused? How do you keep your eye on the prize?

Change your mindset. Be grateful for what you have, happy with your health, and happy with the friends and family that you have around that make you smile day in and day out. The ones that love you no matter what.

And to help you change your mindset, here are some examples and resources:

• Establish a daily exercise routine like running or walking.
• Fast one day a week. Not necessarily from food. Give up something you enjoy, such as the Internet or Alcohol.
• Practice meditation. A simple say it, see it, feel it. “I am happy with just my good health and family.” Saying that as you imagine you playing outside with family and friends.
• Read books such as:
• A New Earth: Awakening Your Life’s Purpose, by Eckhart Toll
• The Mood Cure: The 4-Secret Program to Take Charge of Your Emotions–Today, by Julia Ross
• The Miracle Morning: The Not-So-Obvious Secret Guaranteed to Transform Your Life (Before 8 AM), by Hal Elrod

Making millions of dollars and achieving financial independence can be a long road, but it doesn’t have to be a difficult journey.

Practice, practice, practice… and in a blink of an eye, you will be a financially free millionaire before you know it.

Follow A Budget

Per Dave Ramsey, 93% of millionaires stick to a budget.

So let’s get to it. Easy task, use Personal Capital to organize your personal finances, move on and become a millionaire. Personal Capital is an app that manages your money from your cell phone and gives you access to free professional advice if you need it.

Keep it simple, let technology do its thing, break it down, know where your money is going, and win, win, win.

Practice A Frugal Lifestyle

To achieve financial independence, you have to start by thinking like a millionaire.

What do millionaires think? They think about their money and how they can grow it. So they don’t spend their money on things they don’t need.

So what does that mean for you? First, you must start implementing frugal living tips into your current lifestyle.

What is a frugal lifestyle? A frugal lifestyle is when you live within your means and focus on saving for the future instead of spending it.

Here are some ways that you can start living a frugal lifestyle on your journey to financial independence:

• Cut cable and use streaming services like Hulu.
• Get a cheaper cell phone plan such as Tracfone or Mintmobile for $15 monthly or less.
• Buy in bulk at Costco.

Start there, keep learning, keep saving, and be financially free before you know it.

3. Invest Your Money

Real Estate

Real Estate can fast-track you to financial independence. For instance, the typical real estate investor’s salary range from $70,000 to $124,000. And over the last two centuries, it has accounted for roughly 90% of all millionaire-makers worldwide.

I can personally attest to that. Currently(as of 2022), I am sitting on 2 properties, scheduled to bring in about $60K a year….MAILBOX MONEY.

But how does one even get started investing with little time and money?

Youtube, Google, and Books. Below are a few great resources:

Youtube

• Biggerpockets. Excellent source for beginners to experts.
• Morrisinvest. There is a lot of good information about “buy and hold” rentals, the difference between an escrow and title company, and many other topics.

Google

• Biggerpockets.com. Rentals, buying, selling houses, community/forum, and many other resources to help you go from zero experience to making $60K a year or more, like me.

Books

• Rich Dad Poor Dad. Overall business mindset book, but it will help jump-start you towards buying assets such as rentals.
• The Book On Rental Property Investing. It will show you A-Z of what to do to start making your passive income via rental property investing.
• The Book on Investing In Real Estate with No (and Low) Money Down. This book will show you how to get a property with little to no funds if you have little money.

I HIGHLY ENCOURAGE you to take these resources seriously.

What do you have to lose?

Investing In The Stock Market

Approximately 80% of millionaires are first-generation rich, which is encouraging for people wanting to join this group. In addition, more than 30% of their assets are invested in publicly traded equities.

The bottom line, expedite your path to financial independence rich by investing in the stock market.

But how can I achieve my investor’s goal?

Robinhood.

Robinhood is a commission-free stock trading software that allows users to buy and sell equities, ETFs, options, and cryptocurrencies. Also, it has a lot of cool benefits, including No commission fees, is very user-friendly, No minimum deposit, and you get a free stock when you sign up.

FAQ

Is it good to be financially independent?

Yes, it is good to be economically independent because it gives you the freedom to live your life without having to worry about money.

How much money do you need to be financially independent?

To be financially independent, you need more income monthly than your expenses.

How long does it take to achieve financial independence?

It takes as long as it takes to save up enough money to cover your expenses. Maybe a few years or a few decades. It all depends on your situation.

What is the fastest way to achieve financial freedom?

The fastest way to achieve financial freedom depends on your individual circumstances. However, some methods for reaching financial independence faster include investing in rental properties or the stock market, living a frugal lifestyle, and increasing your income.

Can real estate help me reach financial independence?

Yes, rental properties or buying and selling houses can help you reach financial independence because it has the potential to generate a lot of income.

Summary

Congratulations! You have completed the financial independence guide. By following the three simple steps of making, saving, and investing money, you are well to achieving financial independence. Remember to stay disciplined with your spending and investments; soon enough, you will be able to live life on your own terms. We hope this guide has helped empower you to take control of your finances. Now go out there and achieve financial independence!

So what tip will you use today?

Will you use Personal Capital to square away your finances?

Or will you start a blog with Bluehost so you can start making some passive income?