Today, I’d like to share my 10 simple steps to financial independence. I come from humble beginnings, and if I can achieve financial freedom, so can you. Investing in quality companies for the long term is a big part of financial freedom, but there is so much more that goes into it that is often overlooked.
For example, my first step is financial education, which includes tax laws, credit scores, the difference between assets and liabilities, and much more. It may sound straightforward, yet not many people take the time to focus on this knowledge. Financial education is not taught in most schools, so we are forced to learn on our own. Some people are fortunate enough to have a mentor or a family member who teaches financial literacy, but what about those who don’t have these influences? What other steps are needed on our journey to retirement?
I personally use a core of low-cost ETFs such as the Vanguard S&P 500 ETF (NYSEMKT: VOO) in my portfolio, and I add growth stocks for outperformance. A diversified and balanced approach provides performance and stability to help navigate challenging times like we’re experiencing now.
The below video is a brief, five-minute demonstration that lays out my 10 simple steps to financial freedom. Enjoy the video and please don’t forget to subscribe.
*Stock prices used in the below video were during the trading day of April 12, 2022. The video was published on April 12, 2022.
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Eric Cuka owns Vanguard S&P 500 ETF. The Motley Fool owns and recommends Vanguard S&P 500 ETF. The Motley Fool has a disclosure policy. Eric is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.