Even with the
nature of our society, retiring early is possible and achievable (especially if
this has always been your lifelong goal), you only need to be willing to make
some sacrifices.
Jumia Travel shares 4 things to do if
you want early retirement.
The most important step in controlling
your finances enough to make early retirement possible, is to track your
spending. You have to know what you’re spending on and if it’s necessary for you
to spend that much on it, or even spend on it at all. Know how you spend,
determine necessary expenses and focus your efforts on reducing or eliminating
negligible or unnecessary expenses.
Stop Lifestyle
Inflation
Try to avoid living at the maximum standard your income
allows. Find a middle point and contently build your life around that, while you
save and wisely invest the rest to further increase your earnings. If your
income increases, try not to over boost your spending and put a reasonable
portion of the extra money into savings. You can also apply this strategy to
other surplus money like bonuses, and other small windfalls. This will benefit
you far more than buying the latest gadgets and travelling to the most exotic
locations all the time.
Go Home-Made
Opt for home-made food,
as opposed to eating out all the time. If you’re skeptical about just how
financially beneficial this strategy is, give it a shot for a month and see the
results. You can even save some more money if you know how to negotiate well for
groceries and food stuffs at the market. In addition to the financial benefits
of going home-made, there’s also the health benefit of eating fresher and
healthier meals.
Stop Trying to Please or One-Up Your
Friends
This is one of the biggest money wasters and the greatest enemy
to early financial independence. Keeping up with the Joneses and trying to live
up to your friend’s standard can end up not only robbing you of a chance at
early financial independence, but it can also mess you up financially. Avoid
going out all the time, spending in places you never intended to spend in, and
spending lavishly on things that you could care less about because of so-called
friends. Stick with friends with the same financial mindset as yours, who will
contribute positively to your goal of achieving early financial freedom. You’ll
be better off for it.
