The biggest money myth is that financial wealth is measured by the amount of money an individual accumulates. In actuality, a much better way of measuring wealth would be the number of years of financial freedom that is accumulated. Here’s some background as well as a simple formula to measure your wealth thanks to Financial Breakthrough 101.
The purpose of money
When I ask people to tell me what money means to them, I hear words like freedom, security, and independence. Money, and having enough of it, allows us to do whatever it is that makes us happy. Whether or not we love our jobs, we still show up every day and do our best. And we do that in order to pay the mortgage and put food on the table.
That said, most people would rather be doing something else. I’ve yet to hear of anyone who revealed on their death bed that they wished they had worked more. Thus, money is essentially stored energy that allows us to do that something else, whether it’s spending more time with family or sailing around the globe. More information on how to build your wealth by singapore advance loan.
Financial freedom – years, not dollars
The measure I’m about to propose turns the commonly held perception of wealth on its ear. This benchmark turns some millionaires into paupers, and makes those with a modest $150,000 401K into the stinking rich.