We often hear the term “financial freedom” being thrown around, but what does it really mean? Half of Americans say financial freedom means “having a comfortable lifestyle” and 54% say it means being debt-free, according to a recent survey by Empower.
To some, financial freedom is tied to a certain event or action: 29% said financial freedom meant owning a home and 28% said it was about being able to go on vacation when you wanted.
What Is Financial Freedom?
Financial freedom is a state where you have complete control over your finances, allowing you to make choices based on your desires and goals rather than being limited by how much things cost.
It means having enough income or savings to cover your expenses, giving you the freedom to live life on your own terms.
While financial freedom can provide a sense of security and flexibility, it may not be necessary for everyone. Your personal circumstances, values, and priorities may differ from someone else’s.
For example, some may find fulfillment in pursuing their passions rather than accumulating wealth. But even if financial freedom is not your ultimate goal, it is essential to establish a solid financial foundation that provides stability and protects against unexpected emergencies.
