If I tell you that you can retire by the age of 40, what will be your reaction?
That sounds too good to be true!
Not anymore…
Early retirement is achievable if we start working on it from the beginning. It’s never too early to start planning for it and the earlier you start right after college or university the earlier you can retire.
Not only does it allow us to enjoy life as we wish to, rather early retirement planning is also one of the critical steps to achieve financial freedom. It implies a lot of work and diverse aspects to be considered.
This article deals with the basics of early retirement planning in some simple steps. If you don’t want to struggle with your finances till old age, read on and discover the formula to successful financial freedom.
1. Set your goals
First of all, you need to know what kind of lifestyle you want for retirement i.e. your goal. Write your needs on paper and rank them as either absolutely necessary, important or least important.
2. Decide the future financial target
Based on the desired retirement lifestyle, project the required expenditure on paper. This helps in making an accurate estimate of your financial growth and objectives.
3. Conduct financial inventory
Assess your current financial situation by doing an inventory count of what you have today. A financial inventory is simply a list of what you have and where you have it. This includes your assets, liabilities, net worth, income, expenses and net income or savings.
4. Evaluate progress
Once you have made estimates for all the above figures and started implementing the plan, its time to map out your actions and keep track of your progress. You can take help from a financial planner for this.
Thursday, April 10, 2008
Tuesday, April 1, 2008
Feel The Power Of Financial Freedom
I often hear people using the word ‘freedom’ and find myself wondering if they really understand what being free really feels like.
It’s not about what others tell you that you can or cannot do. Freedom is about having the options for a solution to diverse situations. It’s entirely your decision to take any of the ways. Learning to recognize the right options and avoiding the ineffective ones is key to developing financial freedom for yourself.
Letting go of false, rigid expectations and evolving realistic ones can be a major step towards your freedom. It’s just a matter of your mindset and attitude. Not just recognition but also proper handling of opportunities is essential for attaining financial independence. You MUST be ready to take the consequences, be it good or bad, in a positive manner.
Even before that, you need to be sure of what you actually want. Make a plan and be prepared to make changes as and when required. Open your mind to the vast range of possibilities around you. Sticking to a single, rigid plan will not get you anywhere. This is a mistake that most people make. They limit themselves to one or two options and never give a chance to the various other alternatives.
A good example of this rigidity is the difficulty we face when contemplating to leave a job. A good job is believed to be the only or at least the best way to achieve financial freedom. If you want to make more money, find a better paying job. So, it goes on without anyone thinking how limited they have become.
The sad part is that most people recognize the different opportunities to gain financial freedom but prefer to remain in familiar territory. It’s not bad to take a calculated risk. If you want to chase your dreams, learn to step out of the boundaries of a secure job and long set notions.
When you break free, you will come to know that financial freedom is not a far fetched dream but a reality that can be yours in no time. Set your goals and start working towards them diligently. Then, you will feel the power of financial freedom!
It’s not about what others tell you that you can or cannot do. Freedom is about having the options for a solution to diverse situations. It’s entirely your decision to take any of the ways. Learning to recognize the right options and avoiding the ineffective ones is key to developing financial freedom for yourself.
Letting go of false, rigid expectations and evolving realistic ones can be a major step towards your freedom. It’s just a matter of your mindset and attitude. Not just recognition but also proper handling of opportunities is essential for attaining financial independence. You MUST be ready to take the consequences, be it good or bad, in a positive manner.
Even before that, you need to be sure of what you actually want. Make a plan and be prepared to make changes as and when required. Open your mind to the vast range of possibilities around you. Sticking to a single, rigid plan will not get you anywhere. This is a mistake that most people make. They limit themselves to one or two options and never give a chance to the various other alternatives.
A good example of this rigidity is the difficulty we face when contemplating to leave a job. A good job is believed to be the only or at least the best way to achieve financial freedom. If you want to make more money, find a better paying job. So, it goes on without anyone thinking how limited they have become.
The sad part is that most people recognize the different opportunities to gain financial freedom but prefer to remain in familiar territory. It’s not bad to take a calculated risk. If you want to chase your dreams, learn to step out of the boundaries of a secure job and long set notions.
When you break free, you will come to know that financial freedom is not a far fetched dream but a reality that can be yours in no time. Set your goals and start working towards them diligently. Then, you will feel the power of financial freedom!
Tuesday, March 25, 2008
Financial Freedom Services: Useful Or Useless?
How attractive is the suggestion or promise of financial freedom?
I think that financial freedom services are a concept that implies a lure to struggling people to achieve their dreams of getting rich. Obviously, the reality is far separated from the facts. There is no such thing as free lunch and no easy money. To succeed in internet marketing or MLM, you will have to work hard.
So, you didn’t want to hear that…
Still, as far as I can see, it is the truth of the matter, especially while running an online business. You will get countless number of promises about the greatness of financial freedom services and more time and money for designing your lifestyle. All this without putting in any efforts, you can supposedly even earn money while you sleep!
If you believe any such claims, it is a BIG MISTAKE!
Online success requires some real hard work and dedication. You need to focus and understand this instead of running after a pot of gold that doesn’t exist in the first place. Once you are clear and realistic about your goals, things will fall into place and start taking shape for you.
Anyone who is afraid of hard work should not think of internet marketing or MLM as the way to financial freedom or success for themselves. The best advice I ever got is “if it sounds too good to be true it most probably is”. Keep this is mind while starting your online business.
The only trick is to find a place to start from. The secret to this is to RESEARCH and find out the best alternative for you. Keep updating yourself regarding new ideas and strategies for making more money and attaining financial freedom.
I think that financial freedom services are a concept that implies a lure to struggling people to achieve their dreams of getting rich. Obviously, the reality is far separated from the facts. There is no such thing as free lunch and no easy money. To succeed in internet marketing or MLM, you will have to work hard.
So, you didn’t want to hear that…
Still, as far as I can see, it is the truth of the matter, especially while running an online business. You will get countless number of promises about the greatness of financial freedom services and more time and money for designing your lifestyle. All this without putting in any efforts, you can supposedly even earn money while you sleep!
If you believe any such claims, it is a BIG MISTAKE!
Online success requires some real hard work and dedication. You need to focus and understand this instead of running after a pot of gold that doesn’t exist in the first place. Once you are clear and realistic about your goals, things will fall into place and start taking shape for you.
Anyone who is afraid of hard work should not think of internet marketing or MLM as the way to financial freedom or success for themselves. The best advice I ever got is “if it sounds too good to be true it most probably is”. Keep this is mind while starting your online business.
The only trick is to find a place to start from. The secret to this is to RESEARCH and find out the best alternative for you. Keep updating yourself regarding new ideas and strategies for making more money and attaining financial freedom.
Wednesday, March 19, 2008
Basics Of Personal Finance And Financial Freedom
Have you ever thought about where your money goes every month?
It seems as if we can hardly, if at all, afford to do things we want to because our financial obligations are holding us back. If you have experienced such thoughts and feelings, perhaps its time to take a look at your financial situation and assess whether you are practicing good personal finance management or making some mistakes.
What exactly does personal finance management stand for?
It’s all about spending within your income, planning for the future and solving financial problems as and when they arise. Most people pay more than they can afford to and fail to plan for the future or solve their financial issues smoothly.
This article can help you learn to take charge of your finances by planning your personal finances and getting started towards financial freedom on the right foot. Do something about your finances and take charge of your destiny!
Whoever said that planning your personal finances comes naturally was absolutely WRONG. Not everyone is born with the skills to be a great financial manager. In fact, a majority of people have to take help and guidance from others to understand, plan and implement financial management tips.
Firstly, you need to analyze your present financial situation. One of the most critical goals for anyone is financial independence. Collect accurate data about your personal finances and calculate your NET WORTH including:
a. Real estate
b. Savings and retirement accounts
c. Other assets
This activity helps you decide how much money you have and how much can be set aside to meet future goals and needs.
I would also suggest you to prepare a BUDGET. A personal finance budget is information made up of your income and expenses and the more accurate this information, the more likely you are to be able to fulfill your dream of financial freedom. Such a budget can be prepared once a year and must include a list of your monthly expenses.
Make sure to include all expenses in the budget. Check all your paid bills, check register and credit card receipts to find expenditures that recur every month and rare expenditures too. You need to be prepared for making some small sacrifices for successful personal finance budgeting.
Always remember to see where your money is actually going.
Next, make an investment and finance plan. Once the fundamental state of your personal financial security has been setup, you can look towards the different techniques of wealth creation and financial freedom. Make a plan for your REAL INTERESTS in life and make it as simple or detailed as you want to.
These simple tips can be the key to your financial management success and financial freedom. Take control of your money and you won’t have to worry about debt controlling your life.
It seems as if we can hardly, if at all, afford to do things we want to because our financial obligations are holding us back. If you have experienced such thoughts and feelings, perhaps its time to take a look at your financial situation and assess whether you are practicing good personal finance management or making some mistakes.
What exactly does personal finance management stand for?
It’s all about spending within your income, planning for the future and solving financial problems as and when they arise. Most people pay more than they can afford to and fail to plan for the future or solve their financial issues smoothly.
This article can help you learn to take charge of your finances by planning your personal finances and getting started towards financial freedom on the right foot. Do something about your finances and take charge of your destiny!
Whoever said that planning your personal finances comes naturally was absolutely WRONG. Not everyone is born with the skills to be a great financial manager. In fact, a majority of people have to take help and guidance from others to understand, plan and implement financial management tips.
Firstly, you need to analyze your present financial situation. One of the most critical goals for anyone is financial independence. Collect accurate data about your personal finances and calculate your NET WORTH including:
a. Real estate
b. Savings and retirement accounts
c. Other assets
This activity helps you decide how much money you have and how much can be set aside to meet future goals and needs.
I would also suggest you to prepare a BUDGET. A personal finance budget is information made up of your income and expenses and the more accurate this information, the more likely you are to be able to fulfill your dream of financial freedom. Such a budget can be prepared once a year and must include a list of your monthly expenses.
Make sure to include all expenses in the budget. Check all your paid bills, check register and credit card receipts to find expenditures that recur every month and rare expenditures too. You need to be prepared for making some small sacrifices for successful personal finance budgeting.
Always remember to see where your money is actually going.
Next, make an investment and finance plan. Once the fundamental state of your personal financial security has been setup, you can look towards the different techniques of wealth creation and financial freedom. Make a plan for your REAL INTERESTS in life and make it as simple or detailed as you want to.
These simple tips can be the key to your financial management success and financial freedom. Take control of your money and you won’t have to worry about debt controlling your life.
Wednesday, March 12, 2008
Getting Past The “Slow Start” Stage To Move Towards Financial Freedom
Isn’t the prospect of owning a business interesting?
Millions of people across the globe are excited and yearning to become entrepreneurs and control their lifestyle. A plethora of choices exist for those who are ready to take action on their intrigue. Unfortunately, they are too ignorant or hasty to make the right decisions and end up with “get rich” schemes that hardly work as they claim to.
You DON’T have to be one of them. As you proceed towards financial freedom, equip yourself with as much knowledge about the different aspects of business opportunities as possible. This helps in making good choices and taking effective decisions. Everyone may tell you their own experience and advice you to try a number of schemes.
I would suggest you to do what YOU think is best for you!
Nobody else knows about your needs and business goals as much as you do. So, it will be best to stick to your own ideas and objectives. This does not mean that you should not earn from other’s success or failure. Recently, I attended a financial freedom conference and found out some great facts and pointers for running my business successfully.
One such tip was to have a POSITIVE MINDSET. Many times, disappointment and frustration starts setting in if you don’t get good results instantly. That’s not the time to give up RATHER its time to show grit and determination. Ask yourself…why are you frustrated?
Your sure-shot formula to success may not be working. There may be just a lack of inputs to get it rolling. Lastly, you may be unable to find the correct way to get your business started and revenue flowing.
No need to feel embarrassed or ashamed about your business setbacks. It is a part of running a business and should be taken in stride along the learning curve. What marks a difference between successful entrepreneurs and others is that the former have found the next step in their business evolution.
What is this step?
It’s about realizing the truth and getting out of the myth of “get rich” schemes that make promises that are too good to be true. The only way to make your business work is through legitimate business opportunities and effective marketing.
What I mean by effective marketing is to gain the largest amount of exposure to the target audience for the lowest possible cost. Sounds simple BUT it is not an easy task and certainly, one of the most ignored ones by business owners. Yet, this is something that can drive you closer to your financial freedom dreams.
Millions of people across the globe are excited and yearning to become entrepreneurs and control their lifestyle. A plethora of choices exist for those who are ready to take action on their intrigue. Unfortunately, they are too ignorant or hasty to make the right decisions and end up with “get rich” schemes that hardly work as they claim to.
You DON’T have to be one of them. As you proceed towards financial freedom, equip yourself with as much knowledge about the different aspects of business opportunities as possible. This helps in making good choices and taking effective decisions. Everyone may tell you their own experience and advice you to try a number of schemes.
I would suggest you to do what YOU think is best for you!
Nobody else knows about your needs and business goals as much as you do. So, it will be best to stick to your own ideas and objectives. This does not mean that you should not earn from other’s success or failure. Recently, I attended a financial freedom conference and found out some great facts and pointers for running my business successfully.
One such tip was to have a POSITIVE MINDSET. Many times, disappointment and frustration starts setting in if you don’t get good results instantly. That’s not the time to give up RATHER its time to show grit and determination. Ask yourself…why are you frustrated?
Your sure-shot formula to success may not be working. There may be just a lack of inputs to get it rolling. Lastly, you may be unable to find the correct way to get your business started and revenue flowing.
No need to feel embarrassed or ashamed about your business setbacks. It is a part of running a business and should be taken in stride along the learning curve. What marks a difference between successful entrepreneurs and others is that the former have found the next step in their business evolution.
What is this step?
It’s about realizing the truth and getting out of the myth of “get rich” schemes that make promises that are too good to be true. The only way to make your business work is through legitimate business opportunities and effective marketing.
What I mean by effective marketing is to gain the largest amount of exposure to the target audience for the lowest possible cost. Sounds simple BUT it is not an easy task and certainly, one of the most ignored ones by business owners. Yet, this is something that can drive you closer to your financial freedom dreams.
Monday, March 10, 2008
Personal Budgeting Mistakes That Keep You Away From Financial Freedom
Read on to find out what mistakes you are making while trying to achieve financial freedom...
a. Overspending
Obviously, this is the number one mistake made by all of us. Millions of people are spending more than they earn. If you just stop and think about it, you will realize how much money you are spending this way. Too much credit will cost you heavily in the long run. This is precisely the reason why you are not able to get ahead in life. I’d suggest you to develop a mindset that promotes saving and restricts your spending.
b. Depending on credit
DON’T depend on credit for buying your fixed assets, such as white goods and furniture. If you take these assets on credit, you will come under credit charges for a long period of time. A good idea will be to put aside some money at regular intervals for such purposes instead of buying things on credit.
c. Delaying means of increasing your income
Your regular job will not allow you to achieve financial freedom. All you can get is financial security from a day job. I would recommend that you start planning for your own business that can offer passive income. Read about different types of business opportunities and ideas for turning your hobby or interest into a money-making venture.
d. Not investing
Investment is a must. Even if you do it on a very small scale, you can save some money from getting spent and will save for other purposes. Think of avenues in which you can invest and earn interest.
e. Not sticking to a budget
As one of the most common mistakes, you make a serious error by not sticking to a budgetary plan. This will definitely take some dedication and will power but is worth the efforts in the end. Keep working towards your goals and stick to your budget in order to get financially independent.
These are some of the common mistakes made by people during their quest for financial freedom. However, the solution lies in consistent efforts and not in giving up on the entire efforts. All that is required is a little commitment, good techniques and the drive to gain freedom from your financial woes.
a. Overspending
Obviously, this is the number one mistake made by all of us. Millions of people are spending more than they earn. If you just stop and think about it, you will realize how much money you are spending this way. Too much credit will cost you heavily in the long run. This is precisely the reason why you are not able to get ahead in life. I’d suggest you to develop a mindset that promotes saving and restricts your spending.
b. Depending on credit
DON’T depend on credit for buying your fixed assets, such as white goods and furniture. If you take these assets on credit, you will come under credit charges for a long period of time. A good idea will be to put aside some money at regular intervals for such purposes instead of buying things on credit.
c. Delaying means of increasing your income
Your regular job will not allow you to achieve financial freedom. All you can get is financial security from a day job. I would recommend that you start planning for your own business that can offer passive income. Read about different types of business opportunities and ideas for turning your hobby or interest into a money-making venture.
d. Not investing
Investment is a must. Even if you do it on a very small scale, you can save some money from getting spent and will save for other purposes. Think of avenues in which you can invest and earn interest.
e. Not sticking to a budget
As one of the most common mistakes, you make a serious error by not sticking to a budgetary plan. This will definitely take some dedication and will power but is worth the efforts in the end. Keep working towards your goals and stick to your budget in order to get financially independent.
These are some of the common mistakes made by people during their quest for financial freedom. However, the solution lies in consistent efforts and not in giving up on the entire efforts. All that is required is a little commitment, good techniques and the drive to gain freedom from your financial woes.
Tuesday, March 4, 2008
Is It Possible To Attain Financial Freedom For Life?
Building wealth is one thing, sustaining it is quite another.
The mistake most people make is to consider both as the same thing. You don’t have to be one of them!
This article will help you understand the basics of financial freedom and wealth creation as well as outline the things that can be done to maintain your financial independence for a prolonged period of time.
1. Ensure that you establish a good credit rating.
That means having a good “credit worthy” reputation. Make sure that you pay off your credit cards and bills in full each month before the due date.
2. Second step is a little tough as we tend to get tempted to get into debt.
Pay for whatever you can at the moment you purchase it or use the services. By this, I don’t mean that you should absolutely stop using your credit card. Still, the more cash you use, lesser will be the outstanding debt and interest charged,
3. Tax payments
After achieving financial freedom, you should act responsibly. Pay your taxes on time to avoid getting penalty and compound interest for paying late.
4. Invest wisely.
Find out about the profitable deals while buying real estate and take advantage of bargains available in the market. Another investment option is stocks but you must try to invest in minimum risk avenues only.
5. Retirement plans
Your retirement plans should not be used to pay off your bills. Not only will such money get taxed but you may even have to pay interest on it. In the long run, that can be a very costly mistake!
These simple practices can become the foundation for a comfortable lifestyle and financial freedom for a lifetime. Saving money should be priority and not the last thing on your list.
The mistake most people make is to consider both as the same thing. You don’t have to be one of them!
This article will help you understand the basics of financial freedom and wealth creation as well as outline the things that can be done to maintain your financial independence for a prolonged period of time.
1. Ensure that you establish a good credit rating.
That means having a good “credit worthy” reputation. Make sure that you pay off your credit cards and bills in full each month before the due date.
2. Second step is a little tough as we tend to get tempted to get into debt.
Pay for whatever you can at the moment you purchase it or use the services. By this, I don’t mean that you should absolutely stop using your credit card. Still, the more cash you use, lesser will be the outstanding debt and interest charged,
3. Tax payments
After achieving financial freedom, you should act responsibly. Pay your taxes on time to avoid getting penalty and compound interest for paying late.
4. Invest wisely.
Find out about the profitable deals while buying real estate and take advantage of bargains available in the market. Another investment option is stocks but you must try to invest in minimum risk avenues only.
5. Retirement plans
Your retirement plans should not be used to pay off your bills. Not only will such money get taxed but you may even have to pay interest on it. In the long run, that can be a very costly mistake!
These simple practices can become the foundation for a comfortable lifestyle and financial freedom for a lifetime. Saving money should be priority and not the last thing on your list.
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