Financial Freedom

Updated: Jun 1, 2020

Financial Freedom. This is something everyone strives to achieve, yet it can mean something different to each person. The real emphasis on this phrase is freedom. Last week Gina Estrada, of Estrada & Associates, held a lunch and learn with us to discuss what it really means to diversify your income. Today I wanted to dissect some of what she said in regards to attaining financial freedom through different income sources.

               To quote Gina, “Diversifying your income is a risk mitigation strategy.” With everyone experiencing the Shelter in Place ordinance, more people than ever are realizing that their single source of income is a huge risk, seeing as it can be halted in the blink of an eye for any reason. This is a great time to start re-evaluating where your money comes from, and how you can adjust your investment or savings strategy to gain assets that provide you with recurring income.

               Gina goes on to talk about looking at what you are “intimately familiar with” so that you don’t get in over your head investing in something you don’t fully understand. You will likely see better long-term results investing in two or three areas you’re familiar with than stretching yourself thin across many different areas you won’t know how to maintain properly. For some it’s real estate, for others, it’s the stock market, it really depends on your expertise and what you know.

               So why is diversifying so important? What’s the deal with financial freedom? Well, look at where we are at today. With so many American’s living paycheck to paycheck, and relying on their single income stream from their daily 8-5 job, this large group that makes up most of our country have been put in serious jeopardy from this current health scare we are facing. This is the most obvious example of placing “all your eggs in one basket” as they say. With multiple streams of income, the negative economic blow we’ve been hit with could be severely reduced.

               Another benefit of diversifying your income is the freedom to choose! You have the money to go where you want, do what you want, buy what you want, retire when you want, the list goes on. It’s not just about the money either, most of us have been stuck in jobs or careers we wish we could escape from. What if you had the ability to just, walk away and take time to really think about what you wanted to do next, before just jumping to the next online job post? With several income sources, if one of them is no longer bringing you happiness or has become a burden, you can sell the asset (stock, real estate, etc) or walk away from the partnership, resign the rights, and so on! You aren’t relying on this single stream so removing it from your equation isn’t nearly as painful. This is where freedom really shines.

               So, take the time to consider what you want, what kind of freedom you’d like. Review what you know, what you’ve done in life for careers; this will help you choose where to invest. Financial freedom will mean something different to you than it does to anyone else so take it seriously. If you need help or want to learn more, join Gina by watching the replay of her lunch, and learn here!

21 views0 comments

Want to stay updated about Her Space Events? Sign up for our bi-weekly newsletter, Her Space Happenings! 

In Her Space Happenings, we will share "Big Wins" from our coworkHERs, upcoming events, and awesome resources to help you along your entrepreneurial journey. What are you waiting for? Enter your email below to get started!

© 2020 by Her Space, Inc. Privacy Policy.