financialtreat – will explain about How to Achieve Financial Freedom which you will get in the following article. let’s look at this article carefully!
Financial freedom is the ability not to be limited by Freedom money concerns. With some careful planning, financial freedom may not be as difficult as it seems. In order to achieve financial freedom, form a plan for yourself. See where you are now money-wise, set financial goals, and find ways to cut back on unnecessary expenses. Make some plans for the future by thinking about your retirement and setting up a fund in case of emergencies.
How to Achieve Financial Freedom
Figure out your finances at the moment.
The first step towards financial freedom is determining where you stand now. You’ll have to take stock of your finances and assets to get a sense of where you need to go from here to have more financial security. Figure out your net worth, which is essentially an honest assessment of your current wealth. 
- Tally up everything you own and its value. This includes obvious things, like your house and your car, but think outside the box as well. Do you have any valuable collectables? Do you own any property? Once you’ve tallied up your assets, add your annual income, as well as any additional money you make each year through side work or investments.
- List all your debts. This can include credit card debt, your mortgage, and any loans.
- Subtract your debts from the first number. The number you have now represents your net worth.
Understand your cash flow.
You’ll want to figure out how much you’re spending each month and how much income you have each month. This will give you a sense of where you could cut back on expenses. If you’re vigilant about tracking expenses, you’ll be surprised at how much money you spend extraneously. 
- Keep a small journal for a month and write down where you’re spending your money or use an app like Mint to help track your expenses. Keep track of any bills you pay, monthly rent or mortgage, insurance payments, and so on.
- You’ll also want to record your income. Record the amount, frequency, and timing of all sources of income.
- You should also add any extra expenses. Do you subscribe to any magazines or online services? Add that to your list. On a day-to-day basis, write down how much money you spend on things like shopping, eating out, recreational activities, and so on.
- You may be shocked when you tally your expenses by category at the end of the month. You may be spending a lot more money on things like eating out and going out for drinks than you anticipated.
Set a series of financial goals.
You’ll want to set some financial goals for yourself. You need to have a clear-cut plan for the future if you want to become financially independent. 
- Try to think ahead. Where do you want to be in 10 years? 15 years? How can you go about investing and saving your money to make sure you can achieve these goals? Keep realistic goals. For example, you can strive to have a job that pays well and has benefits. You can also strive to maintain your current standard of living into retirement.
- Write down a series of goals, ranked in terms of important. Include both short term goals (“I want to cut down monthly spending by $300 this month) and long-term goals (“I want to start a retirement fund so I can retire comfortably in the next 20 years.”).
Aim to save 10 to 15% of what you earn.
When it comes to saving, you should start right now. A good goal is to set aside 10 to 15% of what you earn each month in savings. Getting into the habit of saving money can really help your long-term financial prospects. 
- You can do this either on a weekly or monthly basis. If you have online banking, you can put away a certain amount of each paycheck in savings. You can also talk to your bank about automatic transfers and have 10 to 15% of each paycheck automatically transferred to your savings account each month.
- Automatic withdrawals are a good idea. Many people struggle to set aside money and feel tempted to spend everything they have. 
Project future income and expenses.
Use the information you learned in part one to do this. Add up your expected income in the coming months, then subtract the cost of all your necessary monthly expenses (such as rent/mortgage, utility bills, etc.). This will give you an idea of how much money you will have for discretionary spending, paying off debt, savings, etc.
Reduce discretionary spending
Take stock of your monthly bills. Look over all the payments you have each month, and see where there’s room to cut back. Notice where you’re spending money on unneeded goods and services and consider eliminating these expenses. Even small tweaks can result in big savings over time, eventually resulting in financial freedom.
- You may be able to consolidate some services. For example, maybe you can put your family’s cars under a single insurance policy instead of paying for three separate policies. In terms of cell phones, family plans are often cheaper.
- Call and ask for a discount or a reduced rate. If you’ve been a customer for a long time, you may be able to negotiate a lower rate. Also, check for any rewards systems or loyalty policies. You may be missing out on potential savings.
- Do you stop for coffee every day on your way to work? Maybe you could make coffee at home, saving yourself a couple bucks each day.
- Think about any services you subscribe to. Do you really use your Netflix account anymore? Do you watch a lot of cable? Such services could probably be cut. How often do you use your gym membership? Couldn’t you find ways to work out at home?
Work on eliminating debt.
Debt is a huge burden for many, and in order to become financially secure you’ll need to eliminate as much debt as possible. Make a list of all the existing debts you have, and figure out how much you can reasonably pay each month towards eliminating these debts. You may have to make some sacrifices, like skipping the family vacation this year, but it’ll be worth it to live debt free.
- Prioritize your debt. Not all debt is created equal. You should aim to pay off high interest debts first, as they’ll become much more expensive with time.
- If you have to, see if you can find a side job so you’ll have money to exclusively put towards a debt. If you can work an extra 20 hours a week, even doing freelance work for private clients, you could end up with a few extra hundred dollars to put towards that mountain of debt.
Pay your credit card bill in full each month.
You should make sure you’re not overusing your credit card, as this can lead to big debt. Credit cards accrue interest over time, and having debt over the long term can damage your credit score. Make sure to pay your credit card in full each month. Mark when the bill is due on your calendar.
Make a budget.
A budget can help prevent you from overspending in certain areas. Make a strict budget regarding how much you can spend on things like groceries, eating out, recreational activities, and so on. 
- Figure out where you could stand to cut back. Say you realized you spend $350 eating out each month. Do you really need to eat out that often? You could cut that back to $150 and save $200.
- Figure out what things you really value, and what you could stand to go without. Do you really read your monthly New Yorker or Time Magazine anymore? If not, maybe you could cut those subscriptions and save some money.
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- Monitor your results and make changes as necessary.
At the end of the month evaluate whether the changes you have made have been effective. For instance, you might see that cutting out your daily latte saved you $90, which you were able to put toward paying down your credit card debt. You may also find that you need to adjust your budget — perhaps you need to further prune your expenses, or maybe you got a raise and you can contribute more to paying off your debt and your savings goals. That’s the article on How to Achieve Financial Freedom. Hopefully it will be useful for you and that’s all thanks.