10 steps to financial freedom

Hello friends, today we talk about Financial Freedom for the common man. Stock Market helps you to achieve this goal. so let’s understand what is the real meaning of financial freedom, and how can we achieve that.

Financial Literacy

What is the real meaning of Financial Freedom for the common man?

In simple words, says, Financial freedom is a thing, in that you live life without worrying about the rental bill, food bills, and clothing prices, which means, you have an income that is above your lifestyle monthly requirement and you don’t work for your necessities.

Everyone wants Freedom, but very few get that, because, most people just run the race without knowing the endpoint.

means, people work hard, work 16 hours a day, without having any financial goal. so If we want financial freedom, then we have to follow this

so talk about the financial goals.

1) Financial Goal:-

So if you want to achieve financial freedom, for that you have to set a financial goal. So this goal varies from person to person.

In this goal, you have to decide, how much amount, is required for you to live your dream lifestyle. so let’s take examples to understand their financial goal

Suppose, Geeta is a housewife, and recently, his husband doing a job in the marketing department. Her family’s monthly expense is all about Rs. 40,000.  Her husband, whose Income is about 1 lakh per month.

so If Geeta wants to live a Financial free life, she needs 12 lacks, for his dream lifestyle, and for her children’s education, per year is about 5 lakh, (Financial Freedom for the common man)

so Geeta’s yearly expense is all about 15 lakhs, considering she will live more than 70 years from now.

let’s make a simple calculation

Financial Goal = yearly expenses * 70 years

Financial Goal = 15 lakh * 70

Financial Goal = Rs. 8,50,00,000

so Geeta’s family needs 8 crores 50 lakhs, rupees to live their financial life.

now we know the target, most the people can take this much off target, for their financial life,

now let’s understand how to achieve this goal, with Stock Market.

2) How to achieve this Goal with Stock Market:-

 

Hope you see the above screenshot clearly.

if Geeta’s Family, from now ever month if he invested 10,000 rupees in the Stock Market, let’s say In Index funds like the Nifty, or Sensex Index.

after 29 years, he got his financial Goal, this year, they got lots of money in the form of a Dividend. and this money grows without any work.

if they want to retire or live financial life, they can live, without worrying about their expenses. Before getting their number, they have to live very carefully, without any extra expenses, like vacation, or any other luxury things.

so many people, say, that much amount of time, we don’t have, I want quick financial freedom,

so friend, financial freedom is a big thing, you have to give the time to achieve this goal.

if someone wants, a more quick way to get rich, then they can start their part-time hustle, to get rich, and invest more like 20,000 per month or more. then result are different.

so this is a little article, hope you understand the main key point from it.