{"id":40105,"date":"2021-06-29T08:52:21","date_gmt":"2021-06-29T12:52:21","guid":{"rendered":"https:\/\/www.shortform.com\/blog\/?p=40105"},"modified":"2021-07-04T18:23:24","modified_gmt":"2021-07-04T22:23:24","slug":"become-financially-independent","status":"publish","type":"post","link":"https:\/\/www.shortform.com\/blog\/become-financially-independent\/","title":{"rendered":"After You Become Financially Independent"},"content":{"rendered":"\n<p>Have you dreamed of becoming financially independent? Are you already there and wondering, <em>What now?<\/em><\/p>\n\n\n\n<p>More and more people are becoming financially independent, and they worked hard to achieve this freedom. But the work doesn&#8217;t stop there. Find out the myth and reality of becoming financially independent\u2014and how to handle stress, work, and expenses in this new life.<\/p>\n\n\n\n<p>Read on to learn how to navigate life once you become financially independent.<\/p>\n\n\n\n<!--more-->\n\n\n\n<h2 class=\"wp-block-heading\">The Myth and Reality of Becoming Financially Independent<\/h2>\n\n\n\n<p>You need to understand what financial <a href=\"https:\/\/www.shortform.com\/blog\/maturity-continuum-7-habits\/\">independence<\/a> is in order to work toward it.\u00a0<\/p>\n\n\n\n<p>When you hear the term, \u201cfinancial independence,\u201d you may think of becoming rich and the myriad of luxuries that would afford, like endless, swanky vacations. But being \u201crich\u201d is a relative term\u2014<em>you can\u2019t feel rich unless other people have less<\/em>. Striving to become rich isn\u2019t a realistic goal and plays into the \u201cmore is better\u201d myth.<\/p>\n\n\n\n<p><strong>Becoming financially independent means you have the money you need to survive, plus more for the things you deem important for your life. This is the definition of \u201cenough.\u201d <\/strong>It will be different from person to person.\u00a0<\/p>\n\n\n\n<p>Aside from learning what your \u201cenough\u201d looks like, becoming financially independent means:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>Spending money based on your choices, not at the whims of your circumstances.<\/li><li>Interrupting your assumptions about how you should or shouldn\u2019t think about money.<\/li><li>Understanding your finances so that you feel confident.<\/li><li>Acknowledging the emotions you experience when thinking about money\u2014anger, guilt\u2014and moving beyond to make choices that fit your values.<\/li><\/ul>\n\n\n\n<h2 class=\"wp-block-heading\">Navigating Financial Independence<\/h2>\n\n\n\n<p>Even after you become financially independent, you\u2019ll still need to navigate stress, work, and expenses.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Stress<\/h3>\n\n\n\n<p>Stress comes in many forms. You may encounter three issues:&nbsp;<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>wondering about how you\u2019ll spend your time&nbsp;<\/li><li>emotional swings\u2014wanting to dabble in many experiences<\/li><li>worrying if you\u2019ll have enough money<\/li><\/ul>\n\n\n\n<p>Here\u2019s how to navigate this big change:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li><strong>Before the crossover point, try spending your weekends doing some of the things you plan to do in your free time.<\/strong> That way, you\u2019ll have a starting point for what to do.<\/li><li>When you do reach crossover, start to enjoy some of things that you promised yourself you\u2019d do once you\u2019d become financially independent. Examples include sleeping, camping, or volunteering.<\/li><\/ul>\n\n\n\n<p>Financially independent people often discover that their expenses decrease even more during FI because they don\u2019t need to pay for work-related expenses.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Work<\/h3>\n\n\n\n<p>Financial independence means that you don\u2019t have to work for money. However, that is just one option available to you. Not everyone decides to stop doing paid work when they reach FI. If you choose to work, FI gives you flexibility to decide when you work and what kind of work you do.<\/p>\n\n\n\n<p>Here are some examples of what work might look like:<\/p>\n\n\n\n<p>Example 1: You work for a few years, save, and invest, and then <a href=\"https:\/\/www.shortform.com\/blog\/women-leave-workforce\/\">leave the workforce<\/a> for months to years to go back to school, raise children, or take a long vacation.&nbsp;<\/p>\n\n\n\n<p>Example 2: You work a summer job and have the rest of the year off.<\/p>\n\n\n\n<p>Example 3: You use passive income to supplement income from part-time side hustles.<\/p>\n\n\n\n<p>Example 4: You work full time doing work you\u2019re passionate about, but feel no pressure to make money because of your passive income.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Expenses<\/h3>\n\n\n\n<p>Financial independence doesn\u2019t mean that you won\u2019t periodically face large expenses. For example, your car may eventually need to be replaced.<\/p>\n\n\n\n<p>In addition to your Cushion, you can develop a <em>Cache<\/em>\u2014a readily available source of savings to put toward large expenses. Even if you\u2019re not working full-time anymore, you can still continue to build up savings.&nbsp;<\/p>\n\n\n\n<p>This money may come from:<\/p>\n\n\n\n<ul class=\"wp-block-list\"><li>work-related expenses you\u2019re no longer paying<\/li><li>paying fewer taxes\u00a0<\/li><li>taking on side hustles<\/li><li>receiving gifts or inheritances<\/li><\/ul>\n\n\n\n<p>Now you should have more confidence to navigate life once you&#8217;ve become financially independent.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Have you dreamed of becoming financially independent? Are you already there and wondering, What now? More and more people are becoming financially independent, and they worked hard to achieve this freedom. But the work doesn&#8217;t stop there. Find out the myth and reality of becoming financially independent\u2014and how to handle stress, work, and expenses in this new life. Read on to learn how to navigate life once you become financially independent.<\/p>\n","protected":false},"author":9,"featured_media":40122,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[7,31],"tags":[396],"class_list":["post-40105","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-lifestyle","category-money","tag-your-money-or-your-life","","tg-column-two"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v24.3 (Yoast SEO v24.3) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>After You Become Financially Independent - Shortform Books<\/title>\n<meta name=\"description\" content=\"Find out the myth and reality of becoming financially independent\u2014and how to navigate stress, work, and expenses in this new life.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.shortform.com\/blog\/become-financially-independent\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"After You Become Financially Independent\" \/>\n<meta property=\"og:description\" content=\"Find out the myth and reality of becoming financially independent\u2014and how to navigate stress, work, and expenses in this new life.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.shortform.com\/blog\/become-financially-independent\/\" \/>\n<meta property=\"og:site_name\" content=\"Shortform Books\" \/>\n<meta property=\"article:published_time\" content=\"2021-06-29T12:52:21+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2021-07-04T22:23:24+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/s3.amazonaws.com\/wordpress.shortform.com\/blog\/wp-content\/uploads\/2021\/06\/become-financially-independent.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"750\" \/>\n\t<meta property=\"og:image:height\" content=\"273\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Elizabeth Whitworth\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Elizabeth Whitworth\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"3 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\/\/www.shortform.com\/blog\/become-financially-independent\/#article\",\"isPartOf\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/become-financially-independent\/\"},\"author\":{\"name\":\"Elizabeth Whitworth\",\"@id\":\"https:\/\/www.shortform.com\/blog\/#\/schema\/person\/d2928cf6c11a69ced1491d6a5b74fb13\"},\"headline\":\"After You Become Financially Independent\",\"datePublished\":\"2021-06-29T12:52:21+00:00\",\"dateModified\":\"2021-07-04T22:23:24+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/become-financially-independent\/\"},\"wordCount\":658,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/#organization\"},\"image\":{\"@id\":\"https:\/\/www.shortform.com\/blog\/become-financially-independent\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.shortform.com\/blog\/wp-content\/uploads\/2021\/06\/become-financially-independent.jpg\",\"keywords\":[\"Your Money or Your Life\"],\"articleSection\":[\"Lifestyle\",\"Money\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\/\/www.shortform.com\/blog\/become-financially-independent\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.shortform.com\/blog\/become-financially-independent\/\",\"url\":\"https:\/\/www.shortform.com\/blog\/become-financially-independent\/\",\"name\":\"After You Become Financially Independent - 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