There’s no point of being Financially Independent after 60 years of age, right?

So if you want to be Financially Free within 5-10 years from now, you need to grow your Corpus as quickly as possible. Three ways by which you can do this -

1. Earn More
2. Save More
3. Grow the money you save at the highest possible compounded rate
4. Start today

Let’s dive deep into each of these.

1. Earn More

Earning more can be broken down into 3 parts -

• [ ] Earn more within the job that you do
• [ ] Look outside for a better pay, jump around
• [ ] Create new income streams

2. Save More

Here are a few pointers -

• [ ] Save 80% of your salary.

  Most financial planners advise you to save ~ 20% from your salary. However, Financial Independence is an aggressive goal. 80% is a far better number in order to push the probability of hitting that up.

• [ ] Trim down your expenses.

  Your expenses expand to match your income [Parkinson’s Law]. Shortest way of expense trimming - scarcity mindset. Transfer money out of your account into your demat on first day of each month. This way you create an artificial limit to which expenses could expand.

3. Achieve a High Growth Rate on Saved Amount

• [ ] Achieve a supernormal rate of return.

  Again, as risk follows return, focus on return optimization rather than risk mitigation.