We all hear about this “financial freedom” but what does it actually mean and how can we achieve it within our own lives?
Today’s post will go through what financial freedom means to help you understand what it truly is and why you want this in your life. I will then take you through some different habits that will help you reach that financial freedom we all want.
6 habits that will help you reach financial freedom!
Firstly let us get into what financial freedom is…
What is Financial freedom?
In simple terms having financial freedom means having enough savings or money on hand so that you can afford the lifestyle you truly want. This could be for yourself or for your family. This would mean not worrying about bills or any other money worries, but being truly “financially” free.
However, not only is it about money it is also for me about becoming a creator of your own reality. This could mean being able to take up hobbies that you enjoy, or spending time to build up your own business.
Many of us however never achieve this because unexpected events may happen, or we get behind on bills or get into debt etc. Therefore, let’s get into these 6 habits that will help you on your way to financial freedom.
Set life goals
It is not enough for you to want financial freedom, you have to set yourself goals too. Therefore, similar to when you practice positive affirmation you want to write down your financial goals. For example, you might want to write down how much you want in your bank, or how much you want coming into your bank monthly.
Once you have established this you want to pinpoint the age or time line when you want to achieve this. For example, I might want to have £3,000 coming into my bank monthly by the time I am 28. Therefore, this gives me 3 years to make that happen. So remember to be realistic with your goals too, and even set milestones to work towards that big goal.
I have said it before and I will say it again budgeting is so useful and helpful when it comes to managing finances. I have already wrote about “how to budget for Christmas” which you can apply for all seasons. However, you can also use these tips to help you budget throughout the year too.
I personally love using Excel and creating a spreadsheet (I am a nerd and have spreadsheets for everything). But they are super useful for you to display all that information you need.
Back to the budget but you can set a budget at the beginning of the month which can include any household expenses (bills, food, extra). This will keep you on track of where the money is going and will also help you put some towards savings!
Adopt a growth mind-set
Many people have a fixed mind-set which means you only concentrate on the money in your account. You are fixed on that balance. However, a growth mind-set allows you more freedom, which helps you realise you are much more than your net worth. It allows you to enjoy those moments such as family time or going on trips etc.
Think about a minimalist lifestyle
Begin making those small adjustments that will help you practice financial freedom. Living as a minimalist will help you to establish between the things that you want and the things that you need in your life.
Living a minimalist life will not only save you money in the long term, but it will help you to declutter and stay organised as well! Plus you will appreciate the things you own more and stop wasting your money.
Adopt a pay yourself first mentality
What this means is that you put a certain amount of money into your savings first before fulfilling any other obligations.
Then you have to plan for the rest of your funds to pay off any bills etc. Therefore, you are investing in yourself essentially. Plus by adopting this approach you will always have savings going into that account no matter what. Whereas, the opposite will never help you achieve financial freedom because you are only paying into savings whatever you would have left.
See money as a necessity
Of course we all like to think that we view money as a good thing, but when we don’t have enough of it we then are stuck in this mental obstacle. Therefore, we end up viewing money negatively subconsciously and this then compromises our plans of getting and keeping the money.
However, think of money as a necessity because it allows you to buy things you don’t have and for you to live the kind of life you want to live. Look at money as this necessary tool that helps you to build and ignite your dreams. Therefore, completely allowing you to achieve financial freedom.
These are just some habits for you to begin adopting into your life that will help you gain financial freedom.
Do you adopt any of these habits in your life? Will you begin using any of these from now in your life?
Thanks for reading,
Gemma Jayne x