Freedom is defined in the dictionary as follows :The power to act, speak and think as one wants without restriction ; The state of not being imprisoned or enslaved : The quality of being independent of fate or necessity.
What I see and learn by observing several of my friends, colleagues and associates and my own life, the need to be free financially is more than any. While several advisors and companies are equipped to advise on this more than me, the true need for financial freedom is not the requirement to spend as one needs to but to be able to spend on a rainy day.
I have somewhat learnt this about 10 years back when I had to save for a longtime before I could afford the advance payment of my home. Most individuals (and all of them are well to do ones) I have spoken to have only told, I need someone to tell me where to invest. They have all claimed to to be well aware of their cash needs; however, I have also heard them constantly talk about not being able to expend a little more each month as they have to meet their ends. ( I have been in such situations too..)
Just as many of you would run your companies or at least your respective divisions, it is wise to work out an income and expense statement for your personal life too. Just as your would work a cash flow statement, work out a similar one for your life / family too. Just as you would expend/ hold back expenses for your company do a similar act in your life too. Just as it helps your company it will help in your life have a great lift.
Unlike in the past there are several financial planners who one can approach to help one plan financially. For those who would not want to, at least make a simple cash flow of your annual income and expenses. Anticipate your expenses, plan your purchases. Have the freedom to spend when you want to . For which, one needs to think and act. What I am talking is not about investing in stocks or MFs or real estate. But being able to have the right amount of money without having to maneuver too much when needed. Your real estate may not be able to sell on time, your stocks can tank. But your liquid cash planning will never give you wrinkles. It calls for some time and a bit of prudent financial thinking.
This may not be relevant to those who already know everything unless its a reminder for them if they have not acted upon. Its easy to exercise restraint to your expenses. The second approach to happiness is to have the resources to spend when you want to. Freedom is not about restraint.. it is the state of being able to move unrestricted..
Can we say financial freedom is the quality of being independent of financial fate or financial necessity?
Happy free life!
What I see and learn by observing several of my friends, colleagues and associates and my own life, the need to be free financially is more than any. While several advisors and companies are equipped to advise on this more than me, the true need for financial freedom is not the requirement to spend as one needs to but to be able to spend on a rainy day.
I have somewhat learnt this about 10 years back when I had to save for a longtime before I could afford the advance payment of my home. Most individuals (and all of them are well to do ones) I have spoken to have only told, I need someone to tell me where to invest. They have all claimed to to be well aware of their cash needs; however, I have also heard them constantly talk about not being able to expend a little more each month as they have to meet their ends. ( I have been in such situations too..)
Just as many of you would run your companies or at least your respective divisions, it is wise to work out an income and expense statement for your personal life too. Just as your would work a cash flow statement, work out a similar one for your life / family too. Just as you would expend/ hold back expenses for your company do a similar act in your life too. Just as it helps your company it will help in your life have a great lift.
Unlike in the past there are several financial planners who one can approach to help one plan financially. For those who would not want to, at least make a simple cash flow of your annual income and expenses. Anticipate your expenses, plan your purchases. Have the freedom to spend when you want to . For which, one needs to think and act. What I am talking is not about investing in stocks or MFs or real estate. But being able to have the right amount of money without having to maneuver too much when needed. Your real estate may not be able to sell on time, your stocks can tank. But your liquid cash planning will never give you wrinkles. It calls for some time and a bit of prudent financial thinking.
This may not be relevant to those who already know everything unless its a reminder for them if they have not acted upon. Its easy to exercise restraint to your expenses. The second approach to happiness is to have the resources to spend when you want to. Freedom is not about restraint.. it is the state of being able to move unrestricted..
Can we say financial freedom is the quality of being independent of financial fate or financial necessity?
Happy free life!
Just goes to show that discipline and freedom are two sides of the same coin. You cannot have one without the other! Nice post! I'm copying this to all my colleagues...with your permission! :)
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