Financial freedom is basically the condition of having sufficient money to pay all of one’s living expenses for oneself and/or family without necessarily having to be employed or even dependent upon others. Such income earned by individuals without necessarily having to exert a single effort is known as passive income. Examples of passive sources of income are: dividends (i.e., dividends on stock certificates), interest from savings accounts, dividends received from renting out property, and money that has been won through lottery winnings. It can also be derived from other sources such as inheritances and mortgages.
Another way to look at achieving financial freedom is to make sure that you have a large number of bank accounts. In this manner, it would be easier to ensure that you have enough money to cover your living expenses plus your monthly mortgage payment (if any), plus any other bills and payments that you may have. Many individuals often take on extra jobs in order to increase their income or simply because they want to. Others may want to purchase cars, go on vacation, or get themselves a new car repair shop to replace the one that they currently have.
With a good number of bank accounts, you can cover any expenses and live comfortably even when you’re not working for someone else, and even if your income dips a little bit. If you keep your personal finances well stocked enough money will eventually be available to spend on all of the things that you want to do. In order to achieve financial freedom, remember to always save enough money to live comfortably and to make your payments on bills each month, and it will be easier to achieve financial freedom number one.