Do you long for a life without financial constraints?
Too often, our ability to make progress towards our passions is limited by the so-called 'rat race'. In the rat race, we work for our employers, the government by paying taxes, and the lenders (i.e. for our mortgages, credit cards, car loans and student loans).
Very often our own passions seem to be dying, namely they are relegated to when we can still have a little bit of free time - if at all we can get any focus from ourselves.
Fortunately, there is the possibility to have a completely different plan for yourself. In this article, we'll give you at least five reasons to pursue financial independence ... even if you love your current job!
Financial independence is important because job security is often an illusion
Financial vulnerability motivates entrepreneurs often to start for themselves. Many entrepreneurs work ridiculous hours, sometimes risking their entire savings, and neglect important relationships for a dream without certainty of success. What type of person would take such risks?
One thing to note is that regardless of whether you are a self-employed freelancer, a traditional employee or a business owner, you are basically working for yourself. The most important distinction is: who are your customers? For a typical employee, your “customer” is your boss. He or she is the person who purchases your services. However, when you run a business, you have more customers (or bosses).
With that in mind, many entrepreneurs naturally find it more risky to have one base (or client) than many “bosses” or customers. For example, if you have a thriving business where you have complete control over costs, growth, and marketing, then a whole host of multiple clients would have to “fire” you from the services you provide before you actually find yourself out of a job.
A business owner's livelihood is no longer determined by the opinion of a single person or by shareholders who may not even know his or her name. That is why financial independence is so important to traditional workers: no education or experience can guarantee that even the most talented and loyal workers will not be unemployed tomorrow. If you are an employee, the reality is that you are actually constantly interviewing for (keeping) your job.
Financial independence is important because you disconnect from the "rat race"
Today, there is sometimes an outright disdain for work. We are amazed at those who retire early. However, more and more people are getting more enthusiastic about the idea of “rat raceWhich excites them far more than the idea of retirement. There is an inner desire to make a difference that would be very difficult to achieve if the idea of a retirement where you sit on the couch every day watching the new Netflix series. Stephen Covey said we all want to “live, love, learn and leave a legacy”. The right work can help us fulfill such ambitions.
Rather than cutting out work altogether, we think many people crave financial independence so that they don't have to dwell on every decision, pursue their dreams and spend more time with the people who matter to them.
A financially independent person gains new insights and goals unaffected by livelihood concerns, may be able to pursue opportunities that are normally perceived as risky, and be able to manage his or her time entirely according to wish in ways that those with 9-5 jobs can only dream of.
Financial independence is important ensures that you are even better able to help others
It was "the iron lady" Margaret Thatcher (The Iron Lady) - who said that "no one would have remembered the Good Samaritan if he had only good intentions." Some people obediently say that they just want enough for their families. It's like they have outright outrage at anyone who craves more. Ironically, they actually miss just how selfish it actually comes across.
If we want to live an extraordinary life, we often have to look beyond our own four walls to see who we can serve. Just because charity starts at home doesn't mean it should stop there. One of the reasons why it is so important to expand your vision of this further is that it will often be the stimulus that will lead others to get involved in your dream.
Part of the reason why people like Oprah, Rachael Ray and Dr. Oz are so successful, for example, because they are "important" in helping others. It's the problems you solve for others that serve as the doors to your next promotion. One of the benefits of being financially free is that you are also free to tackle some really complex issues (including helping others)!
Financial independence is important because it gives you more pleasure
While happiness can't be bought, fun can. Actually, there is no problem when someone wants to buy their dream home or expand an exotic fleet, as long as they take financial responsibility.
Recently, billionaire heiress Petra Eclestone bought the old Aaron Spelling 57,000-square-foot mansion for a whopping € 70 million ($ 85,000,000). In an interview, a reporter asked her response to the many detractors who claimed there were so many better ways to use her family's money. She replied that she was extremely active and generous to her chosen charities and felt no responsibility to stop living based on what others had to say.
Money is only a resource. It only enhances what is already there, so if you are having fun and giving with your existing income and assets, just imagine the fun you can have and charities you can engage in if all of your financial resources increased further.
Financial independence is important because it allows you to do the work that suits you
Of course, choosing or creating the right kind of work is not limited to those who have become financially independent. However, the two do seem to be linked. In the mind of the millionaire, it is more often said that they have chosen work that suits them; the right work that suits you is therefore a competitive advantage.
Being financially independent means that you have more time and resources to explore your skills and abilities, your personality, passions and dreams and decide how best to integrate that into your work; you have all the more opportunity to make sure you are doing it right.
Recently there has been an explosive increase in people exploring alternative working models such as freelance work, independent contractors, consultants, distributors, licensing, and beyond. Just because something might not suit you doesn't mean you can find out or change the form in which you do it so that it suits you better with a different approach. Always pay close attention to your work and the energy you get from it. Not only can your financial independence be determined by this decision, but also your common sense!
And last but not least
Not only are financial independence and wealth building goals worth mentioning, they are achievable with the right mindset. Keep that in mind when you get the umpteenth opportunity to make purchases that you later regret. Stay sober even when market volatility and doomsday specialists prompt you to sell rather than invest. Most millionaires consistently invest at least 15% of their income regardless of jumps in the market, enticing stock sales and tumultuous economic climates. Follow that example when you are faced with difficult financial decisions; choose freedom today and invest in yourself now and for the longer term.
Sources include APurpleLife (link), FinancialSamurai (link), Lifehack (link), PlutusFoundation (link)
