In the U.S.A. it is getting harder to become financially independent. The biggest obstacles for the regular folks to become financially well-off in the 21st Century is no longer the combination of working hard, living within the means and be frugal with the savings. The reason is that in order to save enough money to become financially secure, you have to have an excellent education, successful businesses or win a lottery. In order to get the most decent education, you have to incur educational debts or have some financial backing for the education cost from the parents. It is becoming harder and harder to secure good paying job with just a diploma from high school or even community college. Basically most of the folks who cannot afford to go to a university or get a successful business started.
However, there is a solution to this problem. For the hard working people in the U.S.A., in order to become financially independent, you must have the following four elements.
- You must have aspiration, drive and ambition and clear goals for how much you want to save according to your dream. If you want a house, two cars, two children and the financial means to keep them, you have to have a realistic dollar figure. Once you have that then, you must keep the financial diary and the end date to save the necessary money to achieve one after the other. So simply put, a tangible goal to reach the dream.
- You must stay in school and finish the highest educational objectives. This is a must. You must have some sort of license to be employed or establish a business which is essential for the society that you live in. This could be one of the three established professionals such as business management, licensed professions or licensed tradesman.
- You must have a stable homelife. This means you must dedicate to find a partner and be loyal and trustworthy. The couple who is married and dedicated are more likely to succeed in financial game than a loner who tries on their own. Divorce is one way to cut your financial asset to less than half. Be aware to find the right person with the right goal.
- Finally you must have the two investments. One in the long term savings with some allocated in stocks and bonds and mutual funds and the other one in a real estate. Do not consider your home as an investment. Your house that you live in will be the biggest single source of expense. Therefore, before you commit to buying a house, you must invest in a real estate such as two to four apartments and live in one and rent the rest out to pay for your existing mortgage.
If you maintain the previous four items and stay healthy, you will most likely succeed in life in the U.S.A. Nowhere else in the world can you make that claim. Still this country abodes the best promise for your financial success since our system is democratic and capitalist with stable education system.