FIRE Guidelines: Do Before you follow Financial Independence
A few qualities are common among people who follow financial independence. We can find the list of qualities in Google but overall, it is a spending habit. Earnings are not important if you can control your spending. Budget your living expenditure, save tax by withholdings rather than deductions, invest more, and diversify your money in different sectors, I can list more. But in general, we need to be more disciplined in spending. I know, it is very tough for people like me.
Understanding the concept of retirement is another fuel to keep you on track to achieve FIRE. First of all, retirement is saving money for the future!!!! Hold on who’s FUTURE???? And what will I do after retirement!!! do I need to retire early by living cheap life? These are the thoughts that cease you to move forward from your goal. My retirement is not discontinuing the work after certain years. My retirement is caring for my health, reducing my working hours from 252 * 8 hours to 183 * 8 hours, passing wealth to my children or loved ones if I deceased. A few companies provide 8 weeks off to bond with a newborn or take care of your family, unplug days to swift your mood from work, and sick off. How many of them can use those time off effectively? If we have worked a few weekends, we can take a combo off later right. Consider your retirement as a combo off till you reach 67, then this retirement is something you need or your physical body or mind you want. So the definition of retirement helps you to move forward with FIRE.
Knowledge about money is something that we need to learn in the process. I carefully mentioning that any knowledge or experience gain in the first term will help you to rectify your big mistakes in the midterm or the last term of the journey. I would say learn anything quickly and clarify your questions if you need any assistance. There are many couples, individuals, or teenagers who achieved FIRE and sharing their experience on youtube or blogs. You can learn from them and revise the plan accordingly.
Financial freedom is a step to achieve FIRE but there are few steps to achieve financial freedom as well as which is creating an emergency fund, clear your debt, and a few more. We will take a look at my next story topic.
