“You must gain control over your money or the lack of it will forever control you” – Dave Ramsey
According to Wikipedia – “Financial independence is the status of having enough income (from investments, passive businesses, real estate, etc.) to pay for one’s reasonable living expenses for the rest of one’s life without having to rely on formal employment”
This is a concept that resonates with most of us. We all want to become wealthy and attain financial independence.
Is it possible to achieve financial independence despite being an employee in an organization? Is financial independence only for businessmen and entrepreneurs?
The answer is a resounding yes.
Several individuals have been able to build a retirement corpus and achieve financial freedom by managing their personal finance effectively. Don’t get us wrong. We are not saying that you can become a multi-billionaire through effective money management. All that we are saying is that you can retire earlier than your colleagues and friends by investing your money wisely.
Unfortunately most of us don’t understand personal finance. According to a recent survey conducted by Scripbox, more than 72% of Indians don’t understand how much money is required to achieve financial freedom and retire. 56% of the respondents said they lacked the understanding of personal finance.
That brings us to the next question. Is Personal finance that hard?
Of course not. We do not understand it because we do not have any formal training in it.
“ You don’t need to be a rocket scientist. Investing is not a game where the guy with the 160 IQ beats the guy with 130 IQ.”