How will you know that you can stop working now? When is the right time that you can safely decide to quit your work and say that you have enough money to sustain yourself and your family? If you stop working today, how long your savings or money from business like real estate can support your lifestyle?
We usually associate the concept of wealth to having lots and lots of money. We say that we are wealthy if we have a big pay check that we get monthly from our salary or from our business. But in reality, having lots of money does not mean that one is wealthy and can afford to stop working for money. Do you need to reach 1 million, 10 million or 20 million? The answer lies on your personal financial goal.
We go to work everyday and look for additional “sidelines” to earn money but many of us do not know when to stop. We give our time, skill, effort and resources into earning money. And when we face with some difficulties like debts and emergency expenses, we are overwhelmed by them and we are back to square one – zero. We are trapped in this dilemma because we do not have our financial goal in place.
Wealth is having the money to fund your needs at any given time. To become wealthy you need to anticipate your future needs and initiate a plan to have the resources to meet them. In addition, we need to understand how you can adjust your needs against the reality of the available resources.
Knowing how much you need to be wealthy is the first step to financial independence. To achieve this you need to understand, know and accept that wealth does not necessarily mean having millions of millions of pesos. A person can have millions of money but still not wealthy because of the debts and high standard of lifestyle that person have. A person do not need to have much money to become wealthy as long as it is within his or her chosen lifestyle or financial goal.
We can measure how much money we need in order to know when we can stop working. We are safe to say that we are ready for this if we go through financial check up. For the body, when we get sick we need to go to the doctor and undergo check up. For the vehicle, when a car broke down we go to the mechanic and undergo vehicle check up. Our finances also require check up because we might notice that our pockets are already full of holes and need to be repaired.
Be a blessing to others everyday.
Reflection: Can you stop working today and live the rest of your life with the money you have right now? If you do not know the answer, you can start by initiating and planning your sound financial goal.