Financial Freedom Calculator
Find out how soon you will reach financial freedom with your current financial situation
Monthly Savings
The remaining money after subtracting your monthly expenses from your monthly after-tax income.
Monthly Expenses
The average amount of money you are spending per month. While some expenses are fixed, others are variable. The actual expenses value will not be the same each month, but a monthly average is a good indicator to watch.
Current Savings
Current savings refers to all the money you have saved so far. This can be cash, deposits, saving accounts, retirement plan, stocks, bonds, and/or other investments.
Savings Yearly Return
Assuming that your current savings are invested in assets that produce recurring income, what is your yearly return rate?
What is Financial Freedom?
Being able to live the life you desire without having to work for money any longer.
Financially, that means having a return from your savings that covers all your expenses.
How to reach Financial Freedom faster?
You can't change what you saved so far. But you can control your future savings and expenses.
Increase Monthly Savings
You can't build wealth without a high savings rate. Control your savings rate by tracking your income and your expenses. An increase in your income or a decrease in you expenses turn into a higher savings rate.
Increase Income
The key to growing your income is to diversify your sources of income. Add income generating assets to your portfolio to increase your income.
Decrease Expenses
You don't need to be frugal to have low expenses. By tracking them you will be able to identify and eliminate wasteful spending habits.
Improve Yearly Returns
Investments return can make you wealthy. But whether an investment strategy will work or not, and how long it will work for is always uncertain.
Changes in yearly returns are hard to control. Higher returns often come with greater risks and less principal protection. Saving money has a much bigger impact on your financial situation early on, compared to achieving high return investments.
