The best idea of financial freedom after retirement nobody talks about

Young people in their late 20s or early 30s think they have come up with the perfect financial plan. Work till the age of 40 and save more money during that time and retire rich. This is a simple and common strategy. I will introduce a few reasons why it is not the right.

First and foremost, when we become independent, we live our lives in different ways. Some change their lifestyle and some fulfill their needs. We get used to it to new comforts and luxuries. Hence, climbing the ladder of income makes us vulnerable to an excessive lifestyle.

Idea Of Financial Freedom

Secondly, our perspectives of financial freedom are limited and keep on changing in tandem with changes in circumstances and financial status. The blunder we all make where it pertains to financial freedom is attaching 25-50 times of current annual expenses). This is a huge number. We struggle to make meaningful progress in the first three to four years and lose motivation.

If you are drawing fixed and limited targets to achieve financial freedom often turns out to be illusory. Rather, choose a better lifestyle that keeps you happy—doing what you love to do. If it takes you a little longer time to achieve financial freedom, you will enjoy it along the way.

So, you do not have to check every day or every year whether you have become financially free or not. What about Warren Buffett in his 90s? He has not retired yet. Does he work for money? Of course not!

Because he loves what he does, as simple as that.

What will you do after retirement if you enjoy what you do or relish the process?

It should be something that makes your life more fulfilling and also pays your bills. So, saving for retirement is essential but not sufficient.

Technology and the internet have opened up a lot of opportunities for us. Rather than dreaming of retirement obsessively, a good way to approach your life is to figure out how you can reduce your 100-hour work week to 80, then 60, 40, and eventually 10-20. Having a balanced life with proper attention to health, wealth, and wisdom does a much better job than being obsessed with the notion of “I will work until I attain the age of 40, save enough money by that time and then retire rich.

Finding the answer to the definitive question as to what we want to do in our life to bring satisfaction to self and livelihood for dependents rather than when and with how much money; should be the prime consideration before we start evaluating any such plan of retirement.