Over the past few years, more people are inclined to achieve financial freedom. But what does financial freedom mean exactly? Simply put financial freedom means that you are no longer having to do a job to earn your living. Or the need for an active source of income to cover your expenses.
Financial freedom is gaining popularity because it sets you free to do things that you always wanted to. You can pursue a career in music, travel the world, take part in art, open a restaurant that you had been planning for ages and so on. However, to reach there you would need the help of assets.
Here are some of the assets that can help you become financially free.
- Renting Our Property:
Owning a rental property is a steady way of leading you to financial freedom. Even if you are in a 9-5 job, you can start by putting aside a fixed amount every year and buying a rental property. As the money starts coming in, you can decide to either buy another rental property or continue paying off the existing one. Eventually, it will lead you to financial freedom.
- Stocks:
It should not be a surprise that investing in stocks makes it to this list. However, you need to have a strong portfolio with stocks that provide dividends. Companies that are big or make steady profits believe in passing on some of that to the investors in the form of dividends. It is a win-win situation for an investor if the stock prices also go up and you receive regular dividends.
- Land:
The discussion of owning profitable assets can never go on without featuring land in them. Owning land opens up a diverse number of opportunities for you. For starters, you can lease it out, let someone else do farming on it, host events, turn it into a parking slot, etc. The list is endless. Should you decide to sell the land, you can turn a handsome profit from that as well.
- Freelancing:
If you have a unique set of skills that others do not possess, you can make the most of it via freelancing. Unlike a traditional job, freelancing lets you explore and take as many jobs as you can manage. Ensuring that the potential to earn money is significantly higher. And freelancing is not restricted to just creating websites or applications, there are a lot of other skills as well.
- Passive Income:
If you wish to be financially independent, you need to have a passive source of income in the form of investments. These will ensure that you receive regular payments to continue living your life on your terms. Essentially, you are making your money make more money for you. You can invest in government or corporate bonds, ETFs, mutual funds and so on. Investing early will give you an edge.
Having the right mindset and the above assets in your portfolio will help you achieve financial freedom.
