There is a very simple reason most people never find peace financially, and I believe it can be summed up beautifully in the following quote:
“Desire is a contract you make with yourself to be unhappy until you get what you want.”
Let me explain.
The primary reason people never reach financial freedom is that they never take the time to define what it really means to them.
They never define clearly what is required for them to achieve freedom. As a result, they can never achieve it and remain constantly unhappy with their finances.
Most people make freedom an arbitrary number (like $1 million) or a constantly moving target ($1 million this year, $5 million in 5 years, etc.). But they never think about why they use these numbers.
You can find evidence of this all over the internet. Everybody wants to be a “millionaire”, Elon Musk, worth $100 million or have “savings.”
But making financial freedom a vague term, an arbitrary number or a moving target is a guaranteed way to ensure that you’ll be unhappy with your finances for the rest of your life – because you will always desire something else.
Financial freedom is about getting rid of money stress (peace) and having the ability to spend your time doing what you want (freedom).
The good news is that financial freedom is a stage in your financial life that you can quantify – and strive for.
This number is what we call the wealth ratio, and it forms the basis of most of what we teach at BeyondEntrepreneurs.
Your wealth ratio is the extent to which your income from investments covers your expenses.
The day this number equals 1 – you are financially free. It’s the day you find financial peace and true freedom from financial stresses.
When you do, you’ll know deep down that no matter what happens, you will never have to work again. And that is incredibly liberating.
After this, you can pursue whatever you wish financially – more money, different assets, etc.
But you can always come back to the stillness of knowing that you’ll always be free.
And that is worth its weight in gold.