Employment vs Financial Independence 

There are plenty of literature online with definition that allows one to differentiate financial independence (“FI”) from financial freedom and variants of this phrase. I can’t profess to know them intimately but what financial freedom means to me is gaining flexibility in choice of work and not having to worry about my wealth and Retirement Pot. (Hi Retirement Pot, I love you, please grow big and strong quickly!!)

Contrast this with Financial Independence, which, just as the word suggests, is 100% liberty and being *drumroll* independent. The image of sitting under a coconut tree with my choice of poison until the day my maker decides to recall me, without the need to lift my finger to work… ok, not entirely appealing to me, only to the lazy bones within me.

My plan is to approach this financial independence in 3 steps

– Earn more money;

– Focus on transforming these incomes into savings by cutting unnecessary expenses; and

– Invest savings wisely to have passive income stream.

Given the holy grail of FI means working on projects at my chosen time, leaving me energy and bandwidth to travel the world, being uncomfortable in a corporate job currently is a stark contrast. Awkwardly bidding time.

Interestingly, I came across a comment on HardwareZone that encourages one to stick with a steady income job so that this salary can be a backstop for investments that go downhill. This concept intrigues me, given the volatile climate now and especially when I have been toying with the idea of taking another break from work. I know I’m lucky to have gone on a few months break some time back, but my excuse is I’m from a generation where we strive for self-actualisation/gap year/ [insert hippie word of the day].

I guess unlike the enlightened finance gurus who amassed a sizeable war chest by tapping on their fountain of discipline to save and gritting their teeth through the workdays, I have been leading an unexamined lifestyle. Never too late to start learning from them and applying that to my life!

Conclusion for now, hold onto my job and reflect more.

Happy long weekend!

Lioness (is happy to escape SG for a short getaway!)

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