What is Financial Independence? That depends on you. For most of us, it means being in control of the various areas of our lives. Not being dependent on others. Not under someone else's control. We have the freedom to make our own decisions.

We've assembled a Financial Declaration of Independence. You can read it here. You'll probably find areas of your finances where you'd like to declare your independence.

We invite you to do just that. Post a comment here saying in what area you plan on becoming independent. (you do need to be a member to post, but it only takes seconds to join and you don't need to provide any personal or private information)

We suggest that you 'go public' for a reason. It will increase your chances of success. When the going gets a little tough it's easier to quit if no one knows what we're attempting to accomplish. But, if we've told others (even just people that we know from a forum) that we're invested in success, we tend to have a little more determination. And, that's exactly what it takes to be successful!

So why not take a moment or two and declare your area of Financial Independence. It won't be too long before you look back and say that this was the day that your financial life began to change.

Finally, we encourage you to join the discussion with others who have decided that they want Financial Independence. You'll find them a great encouragement and a wonderful source of ideas to help you along your journey. They've called it "Slaying the Debt Dragon in 2009". 

We know that you can do it. It'll take some courage and determination. Maybe some lifestyle changes. But you do NOT have to let money control your life. You can be in control of your money. And, there's no time like now to begin that journey. You won't be going alone. You'll have plenty of company along the way to your Financial Independence. So get started today!

Gary:

You can be in control of your money. And, there's no time like now to begin that journey. You won't be going alone. You'll have plenty of company along the way to your Financial Independence. So get started today!

We own our vehicles, rent our home and only have a $500 limit credit card for work expenses. We consider ourselves debt free.

Sounds good? Not really.

My husband is a self-employed sub-contractor and we rely on his income to meet our needs. His work expenses average $20,000 a year. When work is slow, it's even harder for us.

It seems that we save when his income is higher only to draw it right back out to cover large unexpected work or personal expenses or to cover for slow periods of work/less income. We would like to break this cycle.

Our goals:

Replace the padding in the checking account to cover upcoming bills for the month. I sleep better when this week's income is to cover next month's expenses instead of last week's bills.

Replace the small emergency fund of $1,000.

 

 

My declaration and goal is to become consumer debt free (credit cards and car).  That's my first step and I have a long way to go.

I am breaking it down, keeping an eye on the big picture but putting my focus on one debt at a time, breaking it all into smaller chunks.  Easier to manage, easier to not feel overwhelmed, easier to celebrate success (for me).  If I focus on the total picture, it seems too big.

My first step is to pay off one of my visa cards which has a current balance of approx $8400.

Doing it dollar by dollar, penny by penny, even!

We are almost there. Two years ago we decided to speed up paying off our home and we have 4 years left versus 8. If DH was comfortable with one vehicle, I would readily give one up but as of right now, at least both cars are paid for. We have paid cash for several home improvements (new roof, 120ft driveway and new floors in two rooms) and are saving $15,000 for the house to be sided. I love this idea.

Hi Gary and all,

I am a "dragon slayor".  We are a good group, but a lot of us are actually "Poking" the dragon these days as we figure out which way is the best approach!  ;-)

Financial Freedom for me would be to be debt free, not paying interest on any cards, having 8 months emergency fund and having a house with a fixed mortgage rate that is affordable in a great area that I plan to live for the rest of my days.  Also, having a good game plan for my DD higher education set up.

It's going to take me time, but I am determined now more than ever to get out of my huge debt.  It's hard because it looks impossible to most, but I am optimistic -  I can do it by changing my bad habits and turning it around and going full speed ahead.  It will take years, but at least I am doing something about it.

That is my financial indpendence declaration!

dmc

dmc_2008:

a lot of us are actually "Poking" the dragon these days as we figure out which way is the best approach!  ;-)

Hey, you know, sometimes the best course of attack is to lie in wait, make plans and then CHARGE!

dmc_2008:

It's hard because it looks impossible to most, but I am optimistic

It doesn't look impossible to me.  There are a couple of us here that are really in deep, you know I'm one too, but I really do feel optimistic too and I know that bit by bit we ARE going to get there.  The first step is having the attitude that it is not hopeless and that we are in control and we CAN do something to change our financial future.

For myself and my family, financial independence means the following and thus are our goals both short term and long term:

1) First things first: pay off debt. I started with a plan of paying $1,000 a month (or more if available) to paying off our un-subsidized debt (i.e. everything but my car). It's been a few months and we are doing AWESOME. Our goal was to finish by the end of the year but at this rate we'll be done a lot sooner.

2) After debt is paid off we will start saving that same amount each month. It will serve as a downpayment in the long run (we are trying to do much better than the standard 10%). But in the short run, it provides a nice cushion in case something goes wrong.

3) When we do go looking for a place of our own, we're going to explore all of our options because I really want a "homestead" rather than just a house on a little piece of grass but I refuse to go into big debt to get it. That may mean delaying our purchase for a while and/or living more remotely (which would only happen if we explored other employment options). I want property that we can develop to help us be more independent. Now, with my husband, we'll never go 100% rustic. LOL. But I just want enough land for substaintial gardens, small animals (chickens, rabbits,etc.), fruit trees, etc.

4) MOST IMPORTANTLY: We are working on enjoying life that is based on God, family and home rather than material things. Sure, we still enjoy "stuff" but I think that I've realized at an earlier age than most that a life based on "stuff" isn't a happy one. I want to enjoy a more simple life that isnt so cluttered so that we are able to live on less and enjoy life and each other more.

Financial independence, to me, means making the best use of God's blessings so that we are able to live a happier life ourselves and so that we are able to bless others. We have the right attitude now.... but at the moment we are still paying for our previous "mistakes". But you have to start somewhere! And so far, I am very happy with our progress.

Have a blessed day,

Julie

Thanks Jenn,

I am feeling stronger everyda y (at times, I have my moments) But I think its workable with good habits and determination!

 

I'm with Brandy.

I need to re-pad my fund, even if the inevitable comes again and I'll need to draw it out. At least I'll have it. (The costs of passports were $478 last week and it all but depleted what was left for emergencies.)

I have credit card debt that accumulated in the past 3 months that needs paid off. Our car will be paid off in March.

Financial independence for me is not relying on an employer to live week to week. That is along ways off it would seem.

Not carrying a credit card balance.

Have six months of expenses in savings.

Being able to be unemployed for a short period without triggering a financial crisis.

Being able to buy a car without an auto loan.

Freedom from financial fears.

Own my home without a mortgage.

Ability to give to needy friends/family or charitible organizations.

Income dependent on interest from savings, not from working.

Having sufficient retirement savings.

I need to do all of these, but I will start with not carrying a credit card balance.