How To Achieve Financial Freedom

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Becoming financially free is a matter of choice. Set your financial goals and give yourself a timeline. Then begin to work towards it.

Financial freedom is a matter of changing your mindset, mental attitude, discipline and habits rather than a particular method you follow to become financially free.
There are many definitions of financial freedom, but the one I like most is by Robert Kiyosaki, author of “Rich Dad, Poor Dad”.
He defines financial freedom as the ability to afford your lifestyle (monthly bills and expenses) without having to work for the rest of your life.
Suppose your monthly income is $1,000 and your monthly expenses are $1,000. This means you can afford to live for only one month. In this case if your monthly income is $500 then you can live for only half a month. You get the picture…
While the subject of financial freedom is rarely taught in school, you can build financial freedom on your own by reading hundreds of financial books that are available in the public domain and by applying the knowledge to your particular situation.
Financial freedom largely depends on how you acquire and apply this knowledge to your particular financial strategies.
Another way to think about it is that financial freedom is a lifestyle rather than it is a bunch of financial knowledge and wisdom.
The knowledge and wisdom to acquire financial freedom comprises of a series of simple but subtle steps you can take to acquire wealth and it is not even necessary to go to school to acquire the knowledge.
For example, the age-old classic, “The Richest Man in Babylon” by George Samuel Clason, is a book that dispenses financial advice through a collection of simple parables set in ancient Babylon. Through their experiences in business and managing household finance, the characters in the parables learn simple lessons in financial wisdom.
Another classic, “Think and Grow Rich”, by Napoleon Hill is a book that teaches you how to change your mindset rather than the specific methods you can apply to become financially free.
In our modern times, we’re lucky to have a galaxy of some of the best teachers and mentors in the subject of financial freedom.
Millionaire-mentor, Tony Robbins is one of the greatest teachers and mentors of our time, and I would not hesitate to recommend his books, courses and seminars to anyone who wants to break free from poverty and into financially freedom.
Here are some of Tony Robbin’s books and courses you can explore:
Wealth and Lifestyle
Mind and Meaning
Career and Business
You can find more books, courses and seminars at Tony Robbin’s website. The courses are in PDF, audio and video:
While there are more than a million ways you can use to become financially free, basically, there are 3 main Roadmaps to financial freedom:
The Slow Lane
The Slowlane is a Roadmap comprised of a series of life-time savings plans such as the 401(k), mutual funds, cost-cutting, and other savings plans initiated by employers and financial advisors based on the premise of building wealth during your life-time towards your retirement. 
401(k) is an employer-sponsored retirement savings plan that lets workers save and invest a piece of their paycheck before taxes are taken out. Taxes are not paid until the money is withdrawn from the account.
The Slowlane Roadmap follows a slow path to wealth building and assumes you start by getting a good job or starting a small business, saving part of your income, frugal living, maximizing your 401(k) plan, investing in mutual funds, etc.., so that you can one day retire when you are around 65 years old, and hopefully, retire rich. 
The Compound Effect
Advocated by Darren Hardy, The Compound Effect is a mindset shift rather than a system for building wealth, and can be applied on anything (e.g. weight loss, sports, business, etc..), not just financial freedom.
For example, if you were given a choice between taking 3 million dollars in cash this very moment and a single penny that doubles in value every day for 31 days, which would you choose? If you’re like most people you will take the $3 million cold cash!
Let’s say you take the cold hard cash and your friend goes the penny route. On Day Five, your friend has sixteen cents. You, however, still have $3 million. On Day Ten, it’s $5.12 versus your big bucks. How do you think your friend is feeling about her decision? You’re spending your millions, enjoying the heck out of it, and loving your choice.
After 20 full days, with only 11 days left, Penny has only $5,243. How is she feeling about herself at this point? For all her sacrifice and positive behavior, she has barely more than $5,000. However, you have $3 million.
Then the invisible magic of the Compound Effect starts to become visible. The same small mathematical growth improvement each day makes the compounded penny worth $10,737,418.24 on Day Thirty-one, more than three times your $3 million.
In this example we see why consistency over time is so important. On Day Twenty-nine, you’ve got your $3 million; Penny has around $2.7 million. It isn’t until Day Thirty of this 31-day race that she pulls ahead, with $5.3 million.
And it isn’t until the very last day of this month long ultra-marathon that your friend blows you out of the water; she ends up with $10,737,418.24 against your $3 million.
The Magic Penny

The Fastlane Roadmap
The Fastlane method is a revolutionary Roadmap of building wealth based on systems. It was advocated by MJ DeMarco, an internet millionaire who founded and sold an online company for a fortune.
Many Fastlane millionaires generated their wealth on computers and the Internet although others made their millions building other types of businesses.
According to the bestselling book, “The Millionaire Fastlane” by MJ DeMarco:
·            The risk profile of a Fastlane strategy isn’t much different from the Slowlane, but the rewards are far greater.
·            The Fastlane Roadmap is an alternative financial strategy predicated on Controllable Unlimited Leverage.
·            The Fastlane roadmap is predisposed to wealth.
·            The Fastlane Roadmap is capable of generating “Get Rich Quick” results, not to be confused with “Get Rich Easy.”
The Fastlane Roadmap works best with internet-based businesses and is predicated on the principle of scaling and exponential growth.
For example, suppose you’re a dentist earning an income of $100,000 per year. This is based on the assumption that you can treat only one patient at a time. Therefore even if the number of patients increases, your business cannot grow beyond $100,000 per year.
But what if you hired another dentist to help you at a salary of $50,000 per year? Your income would grow to $150,000 per year. And if you hired 3 more dentists, your income would triple to $300,000 per year. You get the picture…
Internet based businesses are mostly based on the law of leverage. For example you can apply the law of leverage on your website by recruiting other people (affiliates) to generate web traffic to your website, rather trying to do it yourself.

With high web traffic, earnings can grow exponentially. That’s what the Fastlane Roadmap is all about.
This strategy can also be applied offline. That’s how most MLM and insurance companies work.
Fastlane financial strategies are predicated on the fact that you only build a system (vehicle) once and then recruit other people to help you run it.
Areas where the Fastlane methods thrive:
Rental Systems
Computer Software/Applications
Mobile Apps
Content Management Systems
Messaging Systems and Social Networks
Affiliate Marketing
Education Systems
eCommerce
ETC..

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