5 Steps To Gaining Financial Freedom
As an aspiring millionaire, the middle class is sure an unforgiving place you want to be. living in the suburbs, going on vacations, having a few cars in your name, and earning a $70,000 salary, there is way more to being comfortable and gaining financial freedom than most of our parents told us.
Being comfortable is definitely not being free. But unfortunately, a lot of Americans get stuck with gulping down advice from people who are stuck in the middle-class, instead of linking up with people who have built a life of steady wealth.
Since most of us were raised with the mindset of the middle-class towards finances, it definitely would be hard trying to break yourself free from the mindset that keeps people tied down to their comfort zones. And because we know what it takes, we have the step-by-step guide to gaining financial freedom.
1. Accept ‘Selling’ As A Culture
Wherever you are right now is a direct reflection of how capable or incapable you are in persuading, negotiating, and selling to others. The act of making sales impacts on every citizen around the globe.
If you have to get a job, you must be able to sell yourself to get it. You’d need to get that boss convinced on why you should receive that promotion at work, get a pay increment, get your crush to stun at dinner, and so much more.
What you are able to sell and how much you can sell have no limits. What you make out of your effort is your commission. And whether it seems good or bad, it all depends on your kind of life. When you accept selling as a culture and a lifestyle, you will begin to improve on your skills to sell whatever you are offering. There will be an instant shift in your way of doing things. You’ll start getting so much of what you want more than before, which in return, sets you up for a future of financial freedom.
2. Broaden Your Network
The connections you have built in life will impact greatly on how qualitative your life will be. Whether you have a struggling lifestyle, a comfortable one, or you have gained a life of financial freedom, your network has a huge role to play in it.
So, list out the people in your network, and examine properly how much they have invested in your ideas. Are they people who have or will introduce you to people who can help you?
Have they gone far ahead of you and can help you? Do they impact your life?
If you think someone is not adding to you, and is also not necessarily subtracting, they are still impacting your total state of life somehow. So, instead of investing your precious time into a network that neither better your life or theirs, you should rather invest in people who will help you expand.
Look into your circle and improve its quality. Consider ways to meet them. The truth is that when you broaden and improve the quality of your network, anything becomes possible.
3. Make Yourself An Indispensable Asset
For you to get to the level you have never reached or attained, it is important to change your past strategy and way of doing things. If you want to attain higher quality of life, gaining financial freedom, you’ll be required to think, train, and operate at a bigger level. Spend time reading quality books, invest in workshops and programs that are created by people who have committed themselves to building great wealth and the kind of life you want to be.
Invest a lot in personal coaching from the people you want to be like. Allow to be close to the actions and mindset these people who are already very successful and reproduce what they do daily into your own routine. invest so much into becoming an asset that can not be easily dispensed.
So, even if the economy falls and your earnings drop badly, you’ll still have your invaluable self left. When you develop yourself the way you are supposed to – continuously and rightly – the only resource you require to excel in life will always be you.
4. Save So As to Invest
You must have heard a million times to save for a rainy day, save for retirement, save to buy a car, build a house, or for an expensive vacation in Hawaii, and many more. While all these are nice ideas, one issue with the mindset is that once the money is spent, that’s it, it’s gone! And just as your car and house will drop in value, your expensive vacation in Hawaii will fade away in your memory overtime.
One lesson learnt from very wealthy people who have remained wealthy and has been very helpful to me, is to invest in assets that appreciates and produces more income. The point is that you must always have money coming back to you instead of just saving because you have to. Save into smart investments that will steadily reproduce returns all through your life.
5. Cash Flow
After making sufficient savings to invest with, your next step is to pick a bankable area to invest your money that will help you in gaining financial freedom. A lot of people invest in the stock market. But the stock market is categorically for two kinds of people. One is, the category of people that have all the time to monitor how the market fluctuates. And two, those who are very wealthy enough to risk so much money. Investing in stock may not be a good idea for you considering its level of volatility and low monthly payout.
Well, you can cashout big in the stock market with accurate information and constant awareness of how it is working (could be in the form of a fiduciary), if you have huge funds to invest, and luck. If just one of these three key things is missing, your money will go down badly.
There are people who invest their cash into homes -flip and rent-out. You can rake in a lot of positive cash flow from renting out a single-family home, but depending on just one tenant for money is not bankable. If anything goes bad with your tenant, it would directly impact on your earnings. Your unit can get swiftly vacant, which means no money for you so long the unit remains unoccupied.
You should consider multifamily apartment complexes. Investing in multifamily apartments would very likely produce consistent cash flow for you every month. And even if you have tenants who do not make timely payments or a few vacancies in the apartments, you will still generate steady income from the other tenants.
Multifamily assets produce an increase in value of the properties time after time. This means that even if you eventually have to sell the properties, you’ll be selling them at a much higher price, or they also produce a consistent income for life and even as generational wealth. Think and research other ways to produce steady and reliable income for yourself even when you don’t work.
The world has enough wealth to go round. These 5 steps to gaining financial freedom will put you in the right path to becoming financially free. Make the decision and take that bold step to make your life better every day. And if that means improving your relationships, broadening your social circle, or increasing your earnings; find a way to always get better.