7 Steps to Achieving Financial Independence
As a young child, I wanted to be rich by the time I turned 40 years old.
However, at age 20, it seemed nearly impossible. After all, I was working for less than $8 per hour at a retail store, which netted me only $10,000 per year. When I had free time at the store, I would grab receipt paper and write down my future salary, according to my age and promotions within that particular company:
Age 22: Assistant Manager $20,000 per year.
Age 25: Store Manager-$50,000 per year
Age 30: Regional Manager-$80,000 per year
Age 35: VP of Sales-$120,000 per year
Age 40: CEO-Millions!!!
I figured that career path would take me to financial independence. If my current employer didn't notice me, maybe one of my clients would, so whenever a customer came to our store, I would give them the pitch: "Hello sir, today, we have a sale: buy one, get one free." Nine out of 10 times, they'd say "I'm just looking."
Thankfully, I found out soon enough that the math on the receipt paper didn't quite work out. Once I took the leap to become financially independent, I never had to return to that store again. Financial independence is the ability to live the rest of your life without working another day in your life. Here are the 7 Ways to Achieve Financial Independence:
1. Do the opposite.
Society has so many failures, so you simply have to do the opposite of what everyone else does. I call this the "opposite equivalent." This means that you must act differently than 98 percent of people in the world. Instead of conforming to the behaviors of most people, think of acting on the opposite end of the continuum.
For instance, if you have a "drunkcle" (drunk uncle) who is drinking 12 beers every Friday night, you should read 12 chapters in a book every Friday night. Could you imagine what would happen if you created habits that are opposite of a failure? Don't go where failures go or do what failures do. Develop a new way of living by doing the opposite of what failures do.
Stop conforming, start performing!.
Related: Don't Let Debt Crush Your Financial Dreams
2. Use your emotions.
Your emotions control what you do. They tell you how to act. For example, everyone in the world has the emotion of "anger." However, what do you do with this anger? If you suppress it, it will harm you, causing you to do things you don't want to do. Moreover, if you express it righteously (exhibiting love), you can accomplish amazing goals (Anger+Love=Passion).
But passion isn't enough. You must mix it with action to get results (Passion+Action=Results). Let's tie it all together: If you've been in debt, you may get so frustrated (anger) at the situation that you decide to do something good about it (love). You then decide to start your business (passion) and start making deals (action). Eventually, you'll get the money and joy (results).
3. Get acquainted with wealth.
If you're not living in prosperity, you're living in poverty. However, this can change when you get acquainted with rich ideas. Here are several things you can do to get acquainted with wealth: subscribe to luxury magazines, visit upscale malls, test drive new luxury cars, Google the biggest mansions, etc. In short, learn to think how rich people think.
Financial independence will only come when you know what you're looking for. You must decide exactly what kind of lifestyle that you want to live. You can't have a million-dollar bank account with fifty cent mentality. In order to obtain great wealth, you'll need to surround yourself with rich people and opulent objects.
When the mind is ready, the money will come.
4. Invest in yourself.
The major difference between amateurs and professionals is that amateurs don't invest in themselves, while professionals do. If you want a great increase in salary, you must buy the books, listen to the audio programs and go to the seminars. You need to hire a coach, even if you're doing a couple calls with them.
Many people write me asking for free financial advice. Only poor people give free financial advice. Besides my articles, that's all the free advice I can give. When it comes to obtaining financial independence, only serious students will invest in themselves and do whatever it takes to reach the highest level. When you invest in yourself, everyone will invest in you.
Related: 7 Strategies for Helping Your Child Become Financially Independent
5. Get obsessed.
The first 100 speeches I ever gave was called 'How to ACT Like a Leader' ACT was an acronym that stood for: Audacious, Contagious, Tenacious. I was obsessed with it and thousands of people loved it too. When you ACT like the person you want to be, you become unstoppable!
When you're audacious in your actions, you gain confidence in who you are and what you do. Soon enough, people feel that confidence because you have a contagious spirit. As you gain momentum, you go the extra mile, step your game up, and give it all you've got because you are tenacious. Those who are Audacious, Contagious, and Tenacious will become financially independent.
Success is about becoming who you really are.
6. Time over money.
How are you profiting from the time you've been given? Most people get stuck financially because they keep trading their time for money. Time is limited and money is unlimited. You can never get time back, but money can always be earned again. However, millions of people still work a job they don't like to feed their families they barely have time to see.
The reason why people end up living paycheck to paycheck is because they don't have time to work on anything else. Imagine if you had all the free time to do what you love to do (and earn money doing it). This can be done if you were born to become an entrepreneur. Successful entrepreneurs have control of their lives because they have control of their time.
7. Measure every dollar.
Put a name to every dollar you spend. Most people automate their expenses and forget how much they're being charged. This leaves them guessing and completely out of control of their finances. When you manage your money, you'll be able to have more of it. If you know where $10 is going, the world will see that you get $100. Wealth requires responsibility.
Every day, you should be checking your bank account and allocating all expenses. Then you should be able to determine how you can obtain more money by offering solutions to the market place. If you're earning multiple streams of income, you should track it on a calendar or notebook. All monies should go to their respective places if you want more of it.
What are you doing today to become financially independent tomorrow?