Financial news is a huge part of our lives, particularly when market shifts are involved. However, it can be difficult to filter out the noise and find trustworthy information.
Financial freedom means having enough money to connect to and support your deepest values – whether it's retiring early or starting a new career. Achieving financial freedom is possible, but it's not an easy journey.
The Path to Financial Freedom
Financial freedom means having enough savings, investments and cash (coupled with little to no debt) to afford the lifestyle you want. Getting there requires planning, putting in place good habits and, sometimes, the discipline to stick with those plans.
Whether you're looking to buy your dream home, retire early or travel the world, financial freedom can help make those dreams a reality. But the road to financial freedom can feel daunting, especially if you're drowning in student loan debt or struggling with a lackluster work-life balance.
Fortunately, financial freedom is within reach for nearly everyone. It doesn't require risk-taking, sacrificing your future or a fly-by-night investment scheme. It simply takes a combination of education, discipline and self-control. Follow these steps to start your journey toward financial freedom. When you need additional reading on financial news around the world, look at here.
The African-American Way to Financial Freedom
Several obstacles interfere with Black families achieving financial freedom and independence. Institutionalized racism erodes their earnings, savings and home values. This can be overcome with the right knowledge, including how to build a cushion for income disruptions and create generational wealth.
This Juneteenth, social influencers like Earn Your Leisure, Troy Millings and Rashad Bilal are highlighting the importance of financial literacy for the African American community. They are encouraging people to take steps toward their financial freedom goals by making a budget, starting money conversations and taking an active role in the stock market.
The goal of financial freedom is being able to cover your expenses, reduce debt and save for the future. It can also include being able to meet the needs of others, like paying for a family’s car repair or buying groceries for single moms. To achieve financial freedom, you must plan ahead and be willing to make sacrifices. Fortunately, you can accomplish your goals with these personal finance books that will help you build wealth and become financially free.
The NerdWallet Way to Financial Freedom
Financial freedom means having enough savings, investments and cash to afford the lifestyle you want, plus a nest egg for retirement or other future needs. But many people struggle to reach that goal, thanks to financial emergencies and escalating debt.
It’s important to get specific about money goals, including amounts and deadlines. That helps you stick with a plan and guard against the temptation to overspend. At the same time, wiggle room in your budget is OK — as long as it doesn’t detract from your emergency fund and retirement savings.
Keeping up with the latest in financial news and developments can help you stay on track. For example, you might learn that small businesses are often open to negotiating and that paying off your credit card balance before you carry a new one can save thousands each year. Then, you can spend less while saving more toward your goals. NerdWallet’s free tools and tips can help you create a budget, compare credit cards and evaluate your progress toward financial freedom.
The Financial Freedom Book Club
The Financial Freedom Book Club offers students a fun and engaging way to build financial knowledge and connect with others. Research shows individuals retain more information when learning it in a group setting.
The goal of the club is to teach members how to take control of their finances by setting financial goals, saving and investing, reducing debt and avoiding costly mistakes. This will allow them to live a stress-free life, retire sooner and leave a legacy for future generations.
The authors of this book emphasize that people need to start small and invest a modest portion of their income. They also focus on the merits of automation and target-date funds. However, the book doesn't delve into how to invest for those who earn less money and do not have workplace pensions. For these people, they may need to seek out more specific guidance. Nevertheless, this is an excellent starting point.
