Financial Freedom

Here are some interesting financial statistics about people in the U.S.:

• Our average household income is around $4500 per month (after taxes)
• Our average housing costs are around $1400 per month (including rent, mortgage, taxes, insurance, utilities, maintenance, and so on)
• Other household expenses (like transportation, food, entertainment, and so on) are around $2700 per month
• Around 70% of us don't like our jobs

U.S Department of Labor statistics

That's how it is for the average American. Chances are that if you're reading this post, then you can relate to it. You can see yourself in those statistics. We're living one month at a time. Money comes in, and money goes right back out. What's left each month (around $400 on average) hopefully makes its way into savings or investments to help us secure our financial freedom at some point in the future.

But what is "financial freedom"? If you Google it, you'll see things like:

"Financial freedom happens when your wants and your needs are exceeded by your passive income".

You'll also get lots of advice about cutting expenses, increasing income, eliminating debt, increasing savings and investments, and so on. And like the old saying goes, "Freedom ain't free!", right? So the common wisdom is to work hard and sacrifice now so that you may someday attain financial freedom.

Work hard, at a job you don't like. And cut back so that you can save and invest more. That's right, cut back on those very "wants and needs" that you're trying to attain. Sacrifice now so that you can be free...later.

Later. When you retire. At age 65 if you're lucky, but more like 67 these days. That gives you about 10 or 12 years of "freedom" at the end of your life. Stay health, so that you can enjoy those final days of freedom. And pray that your investments in stocks and bonds and real estate weather the ups and downs of our volatile economy. That the politicians and financiers of the world that you've entrusted with your investments are indeed worthy of that trust.

So, how's that plan make you feel? Secure? Not me. It makes me nauseous. It's a bullshit plan.

For example, look at the whole "wants and needs" part of that plan. Most of the financial advice out there focuses on cutting back on your current expenses, and moving that money into savings and investments. Why? So that you can spend later. Spend now, and you can't spend later. Don't spend now, and you can spend later. Spend spend spend!

Enough!

There are "wants", and there are "needs". And you can't cut back on needs. Period. Otherwise, they were never really needs to begin with. I'm talking about enough food and water to keep you health, and adequate shelter and clothing to protect your body. Those are truly needs, and there are few. Everything else that we spend our money on are "wants".

Want true financial freedom? Start by thinking about your wants. Think hard. And stop wanting so damn much! The goal is to want exactly what you already have. To be satisfied. Maybe that's the true price of freedom: to work hard at not wanting so much. Or at least not wanting things that cost so much money.

But changing your "wants" is hard. And there's a reason for that. It's called society.

We see the material possessions that our peers have and we want those things, too. We see advertisements for products and we're compelled to buy. And if we can't have the things that we want, the things that others seem to have, we feel bad. We even feel like failures sometimes. Our society has even gone so far as to weave this message into our definition of "success". It's insidious, and it's hard to stand up against.

We even define "poverty" in this way, in comparative terms to the rest of society:

"Poverty is the lack of the usual or socially acceptable amount of money or material possessions"

We measure ourselves by what is "usual" and "socially acceptable". We are "poor" only in relationship to the society in which we live. Think about that. Think about it hard. In fact, work as hard on that concept as you do planning your retirement, or budgeting your expenses, or managing your investments, or working that extra job. Because changing your "wants" is just as important as all of these things. Maybe even more important.

And what about your job? Well, the standard advice with regard to financial freedom is to make as much money as you can. But if you're like most people you really don't like your job. At least that fact is recognized by the financial experts, with their focus on investments and passive income. At least they acknowledge that the main goal of financial freedom is...to quit working! Or more accurately, to not have to work, and to therefore have the freedom to do what you want with your life.

Hmmm, to do what you want with your life. So what does that look like to you?

I live in a tent, and I do it by choice. I have all the food I need. I have all the clean water I need. I'm safe and dry and warm. My needs are met. And I have all the extra things that I truly want. I have extra money. I have extra time. I'm able to do the work that I enjoy without having to worry too much about what it pays. I'm free. Join me.