The reasons for wanting financial freedom can vary from person to person. Nevertheless, there are always similar motifs. Often this is the exit from active working life.
Many employees cannot and do not want to work in their profession until the retirement age of 67. The possibility to quit working life at any time due to financial freedom, even at the age of 40 or 50, can mean security in this context.
Financially free people no longer have to “endure” possible stress or physical strain from employment. As a result, private individuals can prevent the many health hazards caused by work stress. Privateers use the time saved for a healthier life, more sport and more time with their family, for example.
Those who have achieved financial freedom can turn to goals that promise little or no income. Volunteering is one of them, for example. Conversely, financial support can also be a step towards self-employment. This in turn can lead to a new stream of income.
Possible reasons for wanting financial freedom
- Early retirement
- Less stress
- More family
- Live healthier
- Professional reorientation
Retirement investment: Is financial freedom possible for low and normal wage earners?
Various authors of financial literature assume that financial freedom is possible for everyone. In reality, people who already have a high level of education and wealth have a higher chance of achieving financial freedom. Low and normal wage earners often have to spend a large proportion of their income on their way of life. Therefore, they can build up comparatively less wealth.
Despite this difficult starting position, people with low incomes can also achieve financial freedom. In addition to a high-yield investment, you can adjust two factors for this. On the one hand, they can reduce their expenses or increase their income. The cost reduction has its limits. In contrast, there are theoretically unlimited possible increases in wealth.
Retirement: Get financially free by investing
The basis for the concept of financial freedom can therefore be the investment of funds in the capital market or real estate market. You can also open an offshore account and learn how this can help you secured financially. This form of investing delivers a long-term return that is significantly higher than that of fixed-income investments, such as overnight or fixed-term deposits. Aspiring investors should first look at the basics of investing.