Financial Independence

This is the topic that I get most animated about. The Love of money is the root of all evil. People tend to brush that scripture verse away and ho hum about life not thinking that if you fail to plan you will plan to fail, and failing at money isn’t what this life is about.

But money touches every part of our lives. I first came to understand money’s importance when we were early on in our marriage we had massive challenges with money. I have never had a problem making money. But boy, can I spend it. And try to get me to agree with my wife on how she should spend it… cowabunga…

We found the Dave Ramsey’s “Financial Peace University” class in 2012 right before our 3rd child was born. At this point, I was 2 years into my new business and things were going well. We had a strong income, and our bills were paid. But there was an underlying negative tone about money. There were arguments about silly stuff like getting nails done or golfing or going on a date. There was no peace in our home. No amount of financial planning wisdom was going to fix this challenge. We had to learn to relate with money better.

Well the Financial Peace materials truly provided a road map to “peace” on this subject. The concept of peace and our enjoyment of it surrounding financial concerns has blossomed into the notion of ‘financial independence’ being a mutual goal. It truly is a wonderful thing when both spouses are “equally yolked” in the area of finances. We are on the “same page” and we are moving/pulling in the same direction – what a beautiful thing.

Dave Ramsey gives the imagery of Belgian Plow horses (Think Clydesdales). Individual a plow horse can pull up to 8000 lbs. Yolked together, you would expect 16,000. 1 + 1 = 2, right? Well two horses who never met, when yolked together can pull 24,000 lbs. (1+1=3…). But if you train them together, they will pull 32,000 lbs! 1+1=4. The synergy and multiplying factor that can come to your life when you get on the same page about money with your spouse bleeds into every aspect of your life.

When I say, PEACE, I truly mean it. There is a cohesion and a sense of intimacy and togetherness that I could never have fostered myself. We are truly making my one and her one equal 4 (lol, we do have 4 kids after all). But seriously, being on the same page with my wife about money and our life goals has provided immense peace for me and for her.

Financial Independence is loosely, having the financial freedom to enjoy life as you see fit. This is a you thing. You have to define this. I also want you to consider this foundational topic along side and interwoven with the concepts of Quality of Life and Sustainability.

I look at my life as simply as – $10,000 I don have to spend, is about $13,000 I don’t have to make, this year. Every $30-40,000 I can avoid spending, is about ONE YEAR of my life in retirement. Remember, you should not have debt at that time and the 40,000 is just lifestyle; cruises, grandkids, golf, spa days, etc. So if i have saved/earned one year in retirement, i can get there sooner… time = money right?

I have true freedom in this area. Don’t get me wrong, I still have stress to make more money, to provide, but knowing that we have a long term plan that we both agree on and that we both make conscious decisions about the spending around the “plan” really makes this thing work.

If life is grinding you down and you can never seem to make the money faster than you spend it, I would HIGHLY encourage you and your spouse commit to and attend the Financial Peace University class that is being offered in your area. It will change your perspective and change your marriage.

You can do anything you want, just not everything – Zig Ziglar.