{"id":12044,"date":"2023-01-03T11:41:00","date_gmt":"2023-01-03T11:41:00","guid":{"rendered":"https:\/\/businessyield.com\/?p=12044"},"modified":"2023-02-04T10:42:01","modified_gmt":"2023-02-04T10:42:01","slug":"financial-independence","status":"publish","type":"post","link":"https:\/\/businessyield.com\/finance-accounting\/financial-independence\/","title":{"rendered":"Financial Independence: Easy tips to retire early (+ free ebooks)","gt_translate_keys":[{"key":"rendered","format":"text"}]},"content":{"rendered":"

Financial Independence is a lifestyle. It means being totally free from money problems. <\/p>

But how do we really get to that point in life? <\/p>

To be financially independent, you\u2019ll need to put in some efforts to backup your dreams.<\/p>


What does it really mean to be financially independent?<\/p>


In this article, we\u2019re going to be looking at financial independence in great detail. See this blog post as an answer to all your questions about financial freedom. <\/p>


We\u2019ll walk you through how to set up a plan that will help you become financially independent, and also explain how to act on those plans to help you become financially independent.<\/p>

When should you be able to handle your own money?<\/h2>

For this analysis, a young adult is financially independent if their total income is at least 150% of the poverty level for a one-person household.<\/p>

What are the four most important rules of money?<\/h2>

The four rules of money are making money, saving money, spending money, and investing money. If you stick to these basic rules of personal finance, you’ll be able to keep your money in good shape. Most of the time, these ideas can help people get rich over time.<\/p>

What are the 5 most important aspects of personal finance?<\/h2>

At first sight. The 5 pillars of financial literacy are talked about: earning, saving and investing, protecting, spending and borrowing.<\/p>


Financial independence meaning<\/span><\/h2>


To be financially independent means to have enough income to cater for your living expenses for the rest of your life without having to work, be employed or be dependent on others.<\/p>


It means you no longer have to work for a living, because there\u2019s enough cash in your bank account that allows you live your current lifestyle year in and year out, and till forever.<\/p>


This income or cash could be in form of rents, dividends, interests, etc., which usually comes from your assets (cash, shares, bonds, property, etc).<\/p>


This money coming in constantly saves you from things that might happen:<\/p>


1. Not having to panic about emergencies that might occur.<\/p>


2. Not having to panic about a slight failure in your business.<\/p>


3. Risks that might occur when you lose a job, move out of the country or launch a start up.<\/p>


4. A life threatening ailment.<\/p>


5. Death of a loved one<\/p>


As interesting as it sounds, it takes a lot of effort and planning before this is put in place.<\/p>


Financial independence should be a long term goal for every individual.<\/p>


We\u2019ll explain in great detail how to achieve financial independence and how to structure a plan to guide you in being financially independent.<\/p>

How do you come to financial independence?<\/h2>