Keep reading for insights into your financial Independence
What is Financial Independence? In simple words it is being able to fund the life style that one wants or is accustomed to, without having to show up at a place of work.
According to a Study done by the Ageing, Work & Health Research Unit from The University of Sydney in 2011, by 2050, one out of four Australians will be 65 or over ; their numbers will exceed those of people aged 18 or over. 36% of those surveyed indicated that financial security was the main influence on when to retire.
Some of the key findings were that many expected to delay retirement or consider going back to work. The precarious nature of employment situation related to age or nearing retirement – redundancy, short-term contracts, special projects. These were the comments of the Focus Groups: They expressed concerns and a sense of uncertainty over their financial security; lack of control “We may even end up having to go back to full-time work”. “At the moment all our plans are slowly unravelling…..” [about GFC] – Retired woman, Adelaide) “We have to work longer because what we had twelve months ago is not what we’ve got now. We have to work longer to achieve our goals …..” – Man in full-time work, Tamworth) “I am not prepared that the market place is now dictating my income. I don’t know how to cope with the market place…” – Retired women, Sydney “I’m angry that the government gave us 9% super guarantee..and then allowed the super funds to play on the stock market...” – Women in full-time work, Launceston
In fact the last comment is something that many are not aware of and that is the super funds do excatly that – they take the investors money and invest it in property and shares and as long as the market is strong at the point of one’s retirement, then all is well. But if one is looking to be financially independendent without any major capital asset and not waiting 40 years plus to retire, then one would need to learn some new skills and engage in a business model that will allow them to leverage their time and effort. Well known entrepreuner Robert Kiyosaki has written a book on this titled “The Business of the 21st Century” and is well worth reading and then comes the important, no very important step – TAKE ACTION and TAKE RESPONSIBILITY for your financial independence.