In many ways, financial independence is intimately linked with the related themes of voluntary simplicity, inconspicuous consumption and what we call (in the books and e-books) guerrilla frugality.
This blog from Midway Simplicity was published a couple of years ago but nicely picks up on all these themes.
Here at the Financial Independence Hub, we often cite the definition of Financial Independence found at Wikipedia.
But the author of today’s linked blog also has a nice definition:
“Becoming financially independent means having enough money, so that it doesn’t become the main concern or worry in your life. It means having enough money to freely live your life on your own terms. It means that the paycheck doesn’t have control over you anymore and that you can experience life freely and openly.”
Hard to argue with that definition.
So how to you achieve it? The secret is simplicity itself:
“… You achieve financial independence when your income is significantly higher than your needs.
To achieve that you have to either:
- Reduce your needs.
…or increase your income.”