Financial Independence

This is a very big subject. But here are My quick thoughts:

• To me, Financial Independence is the state when one is consistently able to save 20 to 25% of his income.  
• 'Rich Dad Poor Dad' & 'The Richest Man in the Babylon' point one of the key factor as the ability to first pay yourself (save)
• Being financially independent is just not 'earn more, spend less & save more'
• Idea is to think through what one is earning and spending, forecast for next 2-3 years, decide on financial goals, identify the asset allocation and work on the gaps
• I find the spend control part to be very difficult, in this 'Consumerism' era. One approach that has worked for me is that I have frozen the spend amount on say electronic gadget and we typically plan our spends far in advance.
• One must keep asking 'Whats the best use of my Money'. Remember, once we earn money, the earned money should earn more money for us. 
• I have been tracking my Networth for last 5 years. Being conscious of my Assets & Liabilities has been very helpful, the same way the goal of 'Rs.100 Crores by 2035' keeps me driving.

Received Pathbreakers Series from Money Life. Looks interesting. Lets see when can I catch up with this.


Regards, Rohit