Financial freedom is one of the major things every man wishes to achieve in his lifetime. You know, that feeling of freedom you have, knowing you could afford any lifestyle you desire.
- You could afford to go for vacations to any country of your choice.
- Travelling first class to see your favorite football team play live.
- Driving the latest automobiles and living in your dream house.
If you’re not dreaming to have this kind of lifestyle, you better start dreaming bro. I mean, you got one life… why settle for less? Those people who live this kind of way are humans just like you.
Now, dreaming is the “easiest” part. Everybody can dream big. But only few have the necessary grit and determination to actually work and make the necessary sacrifice to achieve their dreams of financial freedom.
To gain financial freedom, you’ve to understand certain things. And I’m going to explain some of them to you in this post.
This is “earned” income. This sort of income requires your presence or effort. Basically, active income is when you work for money.
Examples of active income:
- Job which you earn a salary (civil servant, corporate worker, laborer etc.)
- Skills which you’re paid for service rendered (painter, architect, plumber, web developer, etc.)
- Your business where you sell products or services (both full-time and side business)
This type of income neither requires your income or presence—just your money and intelligence. Here, your money works for you and makes you more money.
Examples of passive income:
- Real estates
- Mutual funds
- Investing in Others’ business
- Fixed deposits etc.
THE SECRET TO FINANCIAL FREEDOM
The secret to achieving financial freedom is to convert your active income into passive income as fast as possible.
The More Your Active Income; The Easier The Conversion
For you to build your passive income column fast, you’ve to have high cash flow from your active or earned income.
It’s common sense. Someone who earns N 10 million yearly will definitely build his passive income faster than someone who earns N2 million yearly.
So when your active income is still low, you need to focus more on increasing your earning ability before you can seriously look to build your passive income.
And here is where most of the hard work lies.
HOW TO INCREASE YOUR ACTIVE INCOME/EARNING ABILITY
1. Get a better job or climb up the career ladder in your existing own: If your current job is paying you so poorly that you can barely save enough money, then you need to find a better paying job. Your job experience should make it easier for you to get another job.
However, don’t QUIT your job until you’re CERTAIN you got that other job.
Another way is to learn the ropes at your present job and know how you can get promoted to a position your income will allow you to save more.
Follow and associate more with the top persons in your establishment.
Always form the habit of following the leaders and not the followers.
You should also be willing to equip yourself with the necessary qualifications and skill sets needed to rise to the top of your establishment. Even if it means going back to school.
2. Hone and master your skills: If you’re being paid for the skills you render, then you should aim to be one of the best in your field. For example, if you’re a copywriter, you should hone your skills until you’re recognized as one of the best copywriters in your vicinity and beyond.
If you’re an auto-mechanic, achieve mastery in auto-mechanics that you cannot be ignored.
However, being a master in anything requires a lot of “intentional” learning, unlearning, relearning and a whole lot of practice and failure.
This is important, because if you wish to command a HIGH PAY, you’ve to be very good at what you do and be recognized as one of the best.
3. Start a side business: It’s always good to mind your business. So as you’re minding another person’s business [your employer], also have plans of minding yours too. And you don’t need to quit your job to start a side business.
All you need is to make certain sacrifices and grind more.
BUILD YOUR PASSIVE INCOME FIRST BEFORE BUYING LUXURY
The most common mistake men make is to start living large and buying luxuries as soon as their active income starts increasing. They usually do this to show people, or those girls who was curving them back then that they’ve finally arrived.
That’s a wrong move. Huge mistake!
Bro, as your active income column is increasing, you should keep your expenses at a constant. This would help you convert more of your active funds to passive income.
So when your earning ability increases, don’t be quick to increase your spending ability. Rather, save and invest. Buy real estates, invest in other’s business, buy stocks, bonds etc.
It is now from the ROI from these passive income that you’ll use to buy luxuries. You can now fly first class all you want, go for that vacation, buy that latest brand of car or phone.
The sweet thing about this strategy is, after paying for these luxuries, your passive column will still be generating more income.
YOU NEED CONTINUOUS LEARNING TO ACHIEVE FINANCIAL FREEDOM
In his bestselling book, “Rich Dad Poor Dad,” Robert Kiyosaki said that your greatest asset in life is “what you know” and your greatest liability is “what you don’t know”
The only way to keep increasing your earning ability is consistent personal development.
One of the best ways to understand the right investment to make at the right time is by learning how to invest rightly.
This is why as a man, it’s VITAL that you’re passionate about learning and developing yourself.
As a matter of fact, you should always make your personal development a priority.
Invest in thyself!
So read books, attend seminars, enroll for that course, hire that consultant. Keep learning and learning. You can never learn enough in life.
FINANCIAL FREEDOM IS NOT A SPRINT RACE; IT’S A MARATHON
One of the problems my generation has is that we’re so IMPATIENT. We’re always looking for a “shortcut” or that “quick-fix”. And this is the reason we always fall victims to Ponzi make quick money schemes.
We want to make it BIG in a short period.
Listen brother, financial freedom is not what you achieve overnight.
See ehh, that man you see blowing cash, visiting different countries every month, hosting parties in yacht… you don’t know how long it took him to get there. You have no idea how hard he worked.
We all should really stop comparing our level 2 with another man’s level 22. Stay true to your path, grind and work smart.
I know I’m not there yet, but I’m sure am on the right path. And if Chi-ukwu gives me life and good health; I’ll definitely achieve all my dreams.
So brotherly, try out a lot of things. Discover what works for you, then put your whole heart into it, learn from the experts in that field, grind hard and be PATIENT.
Remember, financial freedom is a marathon; and never a sprint race.
Every man should strive to achieve financial freedom—that stage where money is no longer a problem.
However, you should be willing to put in the work and make the necessary sacrifice to achieve that. But most importantly be patient and trust the process.
Truth is, it’s NOT EASY. If it was, everyone would be financially free.
But it’s very fulfilling.
And as you’re hustling, don’t forget to take proper care of yourself. Take yourself to a good treat often.
Now don’t get me wrong, I’m not telling you to blow all your money away. I’m telling you that you shouldn’t postpone your happiness.
Because life is too short and uncertain. No one knows what might happen next and today might just be our last day here.
So as you’re planning for the future, make sure you enjoy the moment. Never postpone your happiness.
After all, you don’t need to be financially free before you can be happy. Happiness is free.
PS: I’ll recommend you grab a copy of RICH DAD POOR DAD and RICHEST MAN IN BABYLON. If you already have them, read and study them again like your life depends on it.
See you at the top bro,
About the Author: Gerald Dike
Gerald Dike is the founder of Relationship Strategies For Men. He has helped thousands of men have better interactions and healthy relationships with women of their dreams. He is also an entrepreneur in one of the biggest countries in Africa.
You can grab his new Book here==> The Attractive Man: How to Become the Man Who Women Desire And Chase