Before learning the secret to leading a quality life, let’s first understand financial freedom. Financial freedom means having enough money to live the life you want. It means that one can buy whatever they want without worrying about where the money will come from.
Financial freedom is determined by factors such as returns, inflation, initial corpus, and withdrawal amount. However, the last component Withdrawal amount / Life Style Cost is the most important out of all of them.
Lifestyle costs are compounded by the inflation rate. As a result, a higher standard of living will attract higher lifestyle inflation. This would enlarge the Freedom Corpus and make it difficult to create it on time.
“If standard of living is your number one objective, quality of life almost never improves. But if quality of life is your number one objective, standard of living invariably improves.” – Zig Zaglar
The game of Financial Freedom is getting there early. Therefore, adopting a simple lifestyle becomes the most crucial aspect of achieving financial freedom as soon as possible. As a result, the lower-middle-income classes are well-positioned to achieve financial independence if they are guided. This is due to the fact that they live well below their means and find happiness in the simple things in life.
Simple living is the best way to achieve financial freedom. Once you have achieved financial freedom, it is easier to take risks, find success, and gradually and steadily improve the quality of your lifestyle.
Therefore, “Quality of Lifestyle enhancements in a sustainable manner” is the new phrase. There is no point in living an expensive lifestyle that could end at any time.
Financial Planning Solutions can transform lives and bring true happiness. If you quality of life then you can reach out to us.
Happy Reading.
Viralkumar Shah (Certified Financial Planner CM – USA)
Author – Financial Planning Sahi Hai! – Keep Your Life Organized