How much do people have to earn to achieve financial freedom when they are 40 years old?

Freedom is not absolute. You can do whatever you want, and you can do whatever you don't want!

For example, you like Leonardo da Vinci very much and want to buy the Mona Lisa, but the Mona Lisa is not for sale in the Louvre, and you can't afford it no matter how rich you are. This is called freedom!

But if you don't want to do anything, then there is probably only one thing we don't want to do, and that is work! When you can maintain your current living standard without going to work and relying on your salary, you can call it financial freedom! They even divided financial freedom into five levels: beginner, elementary, intermediate, advanced and top financial freedom. In fact, these five levels are nothing more than the rate of return on wealth investment.

The most basic financial freedom is calculated by a formula:

Financial freedom = non-wage income/daily expenses * 100%

When the financial index is 1, we realize financial freedom.

Of course, if you still want to upgrade your living standard by several grades, such as luxury houses, luxury cars and the dream of traveling around the world, it should be considered as top financial freedom! In Bian Xiao's view, the most important thing about financial freedom is that you can eat and wear warm clothes without going to work! Especially in this big summer, I prefer to go to the summer.

Second, how to plan from now on?

The article probably said the following points:

1. Revenue must exceed expenditure.

This is the most basic foundation for everyone who wants to make a breakthrough in wealth. For every family, especially young people and newly formed families, we must follow such a consumption principle.

2. Consumption = income-savings

You should set yourself a goal of saving money every month, such as earning 5,000 yuan a month, saving at least 2,000 yuan a month, using the remaining 3,000 yuan for consumption, eating, transportation, communication and rent, and giving yourself the rest for leisure and shopping.

If you can't do this, you can only try your best to increase your income and optimize your consumption habits.

3. Fully consider the characteristics of different stages of life and make different arrangements and plans for different stages.

At what age, try to invest money in your own growth. At what age, consider getting married, having children, going to school, and when to start thinking about providing for the elderly.

Every different life stage has different concerns, consumption centers and risk tolerance. Make financial arrangements according to your life plan.

Let me talk about my opinion again:

In fact, everyone knows the above words, and I don't need to say more. I know you don't want to see those concepts, but all want to see the actual figures, so let me talk about something practical!

3. How much is financial freedom?

Previously, Hurun Research Institute released the Report on Brand Tendency of Millionaires in China, which suggested that the threshold of wealth freedom in first-tier cities reached 290 million, while that in second-tier cities reached1.700 million.

This number is too scary. If you count it like this, the topic can be ended, because few people can do it!