Do You Really Understand What Financial Independence is?
February 18, 2009 6:22am CST
I've read a lot of posts in this section and from what I can tell, everyone has different ideas about what financial independence really is. To me - financial independence is the freedom not to have to work if I don't want to. Financial independence is the ability to create money by wise investments and passive income so that money is coming into the household without me having to work for it. Financial independence is having enough money to do the things I want to do with my life without wasting 8 hours a day at someone else's company. What's your idea of financial independence?
• United States
19 Feb 09
Financial independence can come in the form of ongoing residual income. Most of us are only familiar with trading time for money. If we don't do the time, we don't get money. Residual income is not like that. It accumulates and compounds, especially when it is long-term, repeatable income. For example, Elvis' estate today is worth more than it was when he was alive, thanks to all the "residual income" in the form of royalties and other things. So, the question is, where can we find something that will bring us true residual income. If we market/sell expendible products (e.g. lotions and potions) that is not going to be true residual income. You would have to keep servicing the same individuals over and over again, plus keep up with them so they would come back and "buy" from you. Something that is long-term repeatable residual income would be something that you do once, and continue to get paid for it over and over for a long span of time. I've only found one opportunity that allows anyone to do that. I'll be happy to share that info with anyone who wants to check it out for themselves. Feel free to email me at firstname.lastname@example.org and/or go to www.myhomebusinesspays.com/PJ2.
20 Feb 09
There are so many ways to create residual income that it worries me that more people don't aim for them. Did you know that any one who writes and sells a song receives royalties every time that song is sold/downloaded/played? Did you know that writers receive royalties for every book sold for years and years later? What about inventors? Patent a new product and ask for a royalty on every sale of that new invention. What about landlords? They buy a house and they receive rental income every month for as long as they own that house. What about share-holders? (I don't mean traders - I'm talking investors). They receive dividend income for as long as they own those shares. There are many, many ways to create residual income, but our schools just don't teach us how to do it for ourselves.
• United States
20 Feb 09
Raven, I agree. We aren't taught how to do this in schools. Not everyone can sing, or write, or invent. It would be nice if everyone learned more about investing when in school, also. Of course, you have to obtain the money to invest first. That's why, when I saw an opportunity to earn true, lifetime residual income and receive ongoing support and training, I jumped on it. Some people (not many) seem like "naturals." They can understand and relate to owning their own business and creating residual income quickly. Because we didn't learn things like this in school, and we are conditioned to work for someone else (trading time for money), many people need guidance, support, mentoring, etc. That's what I get from the business I'm in (go to www.myhomebusinesspays.com/PJ2). The proven system they use to train us works to get us up, running, and making money fast.
23 Feb 09
PamJoy, you'll need to be a little more careful about posting affiliate links on MyLot. If they're picked up by the moderators you'll have your posts deleted and your account closed. If you'd like to promote your opportunities, put them in your profile and invite people to take a look - but don't spam the link or you'll get into trouble with the site moderators. :)
18 Feb 09
Yes, I feel that I understand what financial independence is as it is according to me the intelligence which allows you to control the money and not let money run all over you- out of control. And I believe financial intelligence is something which can be acquired unlike some other intelligence but, you should be ready to take some risks as there are always a few downfalls before you finally succeed. Financial intelligence is something which allows you to break away from the paycheck to paycheck culture that we as a person and country have gotten into.
18 Feb 09
The idea is basically the same as you mentioned.But think about it the money has more value the money is sweeter if you had to work for it. But practically speaking,financial independence or financial freedom is just fiction. Because there is no telling what will happen tomorrow.Nobody is perfect and one wrong decision can make you bankrupt before you know it. Nice discussion thou..the idea is very interesting. Good day!! :)
• United States
3 Jan 10
I agree with your definition of financial independence but from many of the posts on myLot, other people evidently see it differently. Most I read indicate that they feel that financial independence is only when they aren't dependent on their parents for their rent, food, etc. because they have a job to cover those expenses. I personally feel that being dependent on an employer for your financial stability is financial dependence.