Saving, investing, cutting expenses, and asking for a raise are wonderful ways to create financial freedom. But have you considered that there may be other ways to fast-track your journey? Here are three unconventional ways to accelerate financial freedom that you probably haven’t thought of.
How would it feel to have no debt and enough savings that you didn’t have to worry about money? What would you do if you had more than enough coming in to cover all of your bills, save, and explore your interests? How do you think financial freedom could impact your health, career, and relationships? Really consider these questions and begin to create a mental picture of that life.
As I mentioned, we all know how saving, investing, cutting expenses, and asking for raises can help create financial freedom. But there are other very practical things anyone could do to accelerate their journey exponentially. These ideas might seem unconventional, but they work and are worth the effort to explore.
Accelerate Your Financial Freedom
1 – Move
Since this idea could seem the craziest, we might as well start here. You probably don’t hear a lot about this, but the cost of living has huge implications for your personal finances. There are many places throughout the country where you can earn a great income but have very little left over after covering your living expenses and taxes.
While not the most expensive place to live, our home city of Minneapolis, Minnesota isn’t the cheapest either. Especially once you add in taxes. A friend of mine has been doing some research and figures he can double his savings just by moving to another state.
Wages are typically higher in the city, but that doesn’t necessarily mean you’ll come out ahead. I had a conversation recently with someone who moved from the city back to their home town. Even though they took a tiny pay cut, their disposable income has nearly tripled. In the city, they had just enough to make ends meet. By moving to a smaller town they now have money to save and invest, as well as money to spend on their hobbies and interests.
This is going to be different for everyone depending on your career, income, and family size, so you’ll have to do your own research. Check out this link to compare the cost of living throughout the country. Then take a look at taxes here and here.
This unconventional option isn’t for everyone. Even though we could do better elsewhere, we’ve chosen to stay in Minneapolis for now because we love the culture and lifestyle. But if you find it hard to make ends meet and are ready for a change, why not consider a move?
2 – Change Careers
One of the things that really helped us on our journey to financial freedom was career choice. Sales jobs, remote work, and jobs where you travel offer unconventional benefits that really add up.
I have never had a “real job” where I worked in an office. I’ve always worked remotely and traveled. That meant that many of our everyday expenses were covered as a part of my home office. Cell phones, wireless plans, high-speed internet, and office supplies were always paid for. When I traveled I received mileage reimbursement which covered all of my vehicle expenses with plenty left over to save for new cars.
Then there were the little things like airline miles and hotel rewards. It’s been more than four years since I had a job where I traveled and we just used up the last of my airline miles. And while we paid for plenty of vacation rentals, we had nearly all of our hotel rooms covered with hotel rewards for close to 15 years.
On their own, these might seem like small things. But not having these expenses can leave $10,000 or more in your bank account over the course of a year. Not to mention that many of these jobs come with a higher earning potential too.
Start snooping around, do some informational interviews, and find out if a career change might be right for you.
3 – Start a Side Hustle
I’m not an accountant or tax expert but I do know that tax laws favor businesses and the self-employed. This makes starting a side hustle a great way to save some green and increase your income at the same time.
Experts estimate that more than 50 percent of the population could be freelancers in the next 10 years. So why not try it out and get ready for what’s to come?
This is something I really wish we would have started sooner in life. It’s such a wonderful way to not only accelerate your financial freedom but create time freedom as well. If you’re new to this idea, I highly recommend the resources from Chris Guillebeau. He hosts an excellent podcast called Side Hustle School and has authored a number of wonderful books.
No matter where you are right now, you can live a life of financial peace. All it takes in a little discipline, ingenuity, and some stick-to-it-iveness.