Money. We all need to make money to live- and there’s are nothing wrong with earning or upward your financial income. However, to get real financial freedom, you need to control your finances and living style. A year ago, I was overwhelmed by money’s rapacious tug on my experiences, and then I decided to change, decided to take back control of my finances and life. These are the five steps I take to get financial freedom to live.

01|Written Monthly Budget

Most of us have don’t know where is our money going. We think we know, but we don’t know. On that note, the first step in getting financial freedom is a Written monthly budget. Categories your expenses into three categories:

• Essentials
• Nonessentials
• Junk

write down every: expense

• foods,
• houses rent/ mortgage
• insurance,
• cars,
• clothing,
• phone,
• internet,
• credit cards,
• Entertainment. 

Then check with your partner and another family member-even your children. Everyone in your household must have a say in the written budget. Then use your needs, wants, and junk categories to prioritise and cut your expenses. The stricter you are, the sooner you get financial freedom.

02| Pay Your Future Yourself

I do pay myself with two categories, EMERGENCY and RETIREMENT Fund. Things can happen, so it’s so essential to create an Emergency fund. Another name is called a safety Net saving account with $5000-$10000 for emergencies. Do not touch this money unless there is a real emergence like care repairs, medical bills, job loss etc. Emergency Fund will give you confidence when life punches you in the face.

The best way to save for your retirement is to automate your saving using an online service like Betterment, which takes out the money for investing. The future won’t wait. Do it today. That could be any amount of $20 a month or 1% of your income. Your future self will thank you.

03|See Your Debt

Being in debt is a feeling- a complete loss of freedom. Imagine the life you have no car payments, no credit card payments, and no student loan. It’s easy to ignore your debt, but to tackle your debt, you need to take a piece of paper and write down each of your debts, the balance, the interest rate and minimum monthly repayment. Then add it all up. 

It’s Important to look at the total amount. 

Then take control and schedule your savings and your payments to come out automatically each payday before you have a chance to spend anything.

04|Minimize your lifestyle

“The Secret of happiness, you see, is not found in seeking more, but in developing the capacity to enjoy less.”-Socrates.

The real fulfilment in life is come from being free. Simplifying your lifestyle means not only saving money but also makes you a happier person over time. 

Always look for something to do rather than going shopping, take a walk to the beach or park, visit a friend.

05|Help other people

One of the easiest ways toward financial freedom is appreciating what you already have. Show gratitude for the gifts you’ve already given is to change your perspective.

To do so, contribute your most precious asset: your time. Help the homeless shelter, less-privileged children, older people with groceries or in-home care. Just do an internet search for volunteer opportunities in your area. And build your contribution muscle.

Bottom line

Although there is no magic bullet to be a financial freedom, it’s only possible to change our money habits and make better decisions with fewer resources.