Financial Freedom

How many of you are financially Free?

What do you mean by Financial Freedom?

Financial freedom is nothing but your monthly expenses are meet by passive income. Or your earning regular income to meet regular expenses. Example, you have 25000 INR required to meet all your personal and family expenses. the same money you are receiving out side your working income ( Salary or Business income) Where you are not involved to make this money.

There is a word, I have just used. Passive income, it is the income you generate monthly basis from your investments. It could be your rental income, renewal commission etc..  This is the money your earn when you sleep. Here, money works for you. Not other way around. 

Now, How many of you are financially free ?

Just take a moment, close your eyes and imagine.... You have passive income to meet your expenses. 

Have you really imagined? Now tell me what you would do ?

Yes, will be happy to do what you love, isn't it? It could be a Doctor wants to write a novel or Advocate wants to run a cafe shop. 

Now you will be thinking, 'these are good to imagine. But not practical.' NO, it is practical. If you plan well. For that you have to take up an additional responsibility. That is, managing and investing your money. 

You have to have a system to manage your current monthly income. Normally, your money distributed in the following way. 

Monthly Expenses

Savings for your future expenses

Education

Hobbies

Charity

Savings for retirement

Here onward, First thing...whatever you receive, keep side 25% for the taxes. This one you have to pay at the end of the year to government. So keep that aside. Only rest is your own.

From that, First thing... minimum, 15% Keep aside for your Financial Freedom Fund. 

50% for expenses, no matter what, you should not spend more that 50% of your monthly income.

10 % for Savings for your short term future expenses like child education, buying a car, buying a house.

10% for your education to build your skill and knowledge level.

10% for your hobbies and entertainment 

5% for charity, giving to others make you satisfy. All expenses such as supporting cause or helping a friend should stick with in this. 

Once you have keep aside Financial freedom Fund. You have to manage and invest for a bigger return. There are various ways to invest your money to gain good return. your job is find right way which work for you.  Investing in equity and mutual fund can gain good return, investing in real estate for rental income and property appreciation is good way. Writing a book can give you royalty. Starting a network marketing business, gives you good regular commission. 

The first step to Passive income stream is build a disciple to save your money. From there, invest your Financial Freedom fund and make that money work for you. 

Thank you for Millionaire Mind Set program to give me a system to manage fund.