Life is more enjoyable and fulfilling if one has enough savings, financial investments, and cash at hand to afford the kind of life they desire for themselves and their families. That is what is called financial freedom. It simply means having the financial muscles to afford the kind of life you desire to live without having to depend on salary.
But the question to ask is how can one get to that stage. There may be a thousand and one ways to do this, but in this article, I would talk about four key steps to attaining this stage in life.
1. Have a workable budget
People who break through financially are very conscious of how they spend their money. A budget is very crucial because it helps you control your expenses. That is one of the best ways to stop impulse spending and save more money. However, budgeting doesn’t also mean saving every dime or depriving yourself of the things you love. It is rather about planning your future while making sure you have what you need to enjoy life today.
2. Separate your wants from your needs
One thing that makes many handicapped and unable to save as much as they should is the inability to separate their wants from their needs. Simply put, wants are things you can live without, but needs are things you can’t live without. Your inability to separate these two will help you spend wisely on things that matter. That will give you more space to be able to save enough money. So if you want to be financially free, learn to prioritize your needs over your wants.
3. Start a business venture
Business is a game changer. Let me be bold to say it is very rare to see someone who is financially free but doesn’t own a business(s). Being just a salary worker is not enough to make you attain that status. Therefore, don’t be afraid to start something. Try and fail, and try again until you succeed because winners don’t give up. If you are bold enough to do that, then you are already on your way to financial freedom.
4. Invest wisely/diversify your investments
Another big path to financial freedom is to have multiple investments. This can be done in several ways, including buying company shares, government bonds, and T-bills, among others depending on your long-term goals. Don’t be satisfied just saving your money in your bank account because the returns on savings are usually small. However, let me be quick to add that before you jump into doing any investment, ask for expert advice so that you can get the best from your investment. It is more deadly if you invest your money wrongly.
Let me conclude by saying you don’t need to wait until you have thousands of Ghana cedis before you begin to take these steps mentioned above. You can start with the small amount you have now or even take a loan facility if you need to start a business.
Don’t hesitate to contact SRF Micro Credit in case you need a loan facility.
Call us on 0240061709 for more information.