Financial freedom

What does financial freedom mean for an entrepreneur? From experience working with entrepreneurs, they often mention having lots and lots of money, never having to work again (unless they want to) and not worrying about money in their life. There is no universal meaning of financial freedom. Rather there are two dominant meanings attached to being financially free, one is about the money and the other is yourself.

Financial meaning

Investopedia explains financial freedom here as

“It generally means having enough savings, investments, and cash on hand to afford the lifestyle you want for yourself and your family—and a growing nest egg that will allow you to retire or pursue the career you want without being driven by earning a certain amount each year.”

According to Robert T Kiyosaki, author of the Rich Dad books says here, that

“Once my monthly cash flow from my assets is equal to or greater than my monthly living expenses then I am financially free because my assets are cash flowing and are working for me.”

Liberty asked their financial advisors to share their meaning of financial freedom here and they tied it financially to affording your lifestyle and taking care of your future.

Experian tied financial freedom here to your specific factors

“Instead, what it takes to reach financial freedom depends on your income, debt, savings, spending patterns and values. It’s important, though, to meet certain universal milestones, such as paying all bills on time and having enough saved for emergencies, before you can truly live without feeling anxious about money.”

According to Tony Robbins, author and entrepreneur, 

“One financial freedom definition is having the monetary stability to do what you want in life without having to worry about your bank account.”

“Financial freedom means connecting to your deepest values and having enough money in the bank to support those values without having to worry about paying the bills.”

Experian, Liberty and Tony Robbins, don’t equate financial freedom to being rich though.

Yourself

According to Robert T Kiyosaki, author of the Rich Dad books says here, that

“Financial freedom is much more than having money. It’s the freedom to be who you really are and do what you really want in life.” 

Experian highlights the way you feel when are financially free, stating here

“The primary feature of financial freedom is a feeling of security around money: that it will be of service to your goals, rather than a source of stress.”

According to Suze Orman, author of several financial management books, defines financial freedom 

“when you have power over your fears and anxieties instead of the other way around.”

At a personal level, financial freedom is about being yourself and feeling emotionally strong around money.