Discover steps anyone can take.

Financial freedom isn’t just about retiring early or hitting a certain number in your bank account. It’s about creating freedom and independence to make life choices, such as whether to start a business, change careers or live where you want to live without financial stress. The good news is you don’t need a seven-figure salary to start your path to financial freedom. With the right mindset and consistent habits, anyone can start taking steps toward financial freedom today.

Financial Independence vs. Financial Freedom

Although the two terms are often used interchangeably, they’re not exactly the same. Financial independence means you have enough income to cover your basic living expenses without having an employer. Financial freedom goes further. It’s the ability to take life choices that aren’t limited by money and finances. Here are five steps you can take to work toward that goal today:

1. Define what financial freedom means to you.

   Before getting lost in a budget sheet full of numbers, take a moment to visualize your goals. Do you want to travel? Live on a boat? Pursue passion projects? Consider making a vision board you can keep on display in your working or living area that you can look at often as your “north star” of financial freedom. Having a goal can keep you motivated and moving in the right direction.

2. Know your freedom number.

   How much funding or revenue do you need to live the lifestyle you want? While there is no set formula to determine your individual freedom number, multiplying the annual expenses of your chosen lifestyle by the number of years you want to be financially independent can give you a good figure to start.

3. Start an emergency fund.

   Things in life rarely go exactly according to plan. Build an emergency fund – a big one. Having a large enough financial safety net can protect your progress and give you more confidence to make bold moves like switching careers or starting a new business venture without fear of financial setbacks.

4. Increase your income.

   Increasing your income can accelerate your path to independence. This might mean asking for a raise, angling for a promotion, upskilling to change jobs into a bigger and better-paying role, or investing in opportunities that can provide a passive income stream.

5. Pay down high-interest debt.

   Debt can quietly drain your income and delay your ability to make moves. Focus on paying down your highest-interest debts first to get the maximum long-term benefits of debt reduction. The less debt you have, the more money you can put toward your goals.

6. Invest in yourself.

   The best wealth strategy isn’t an account, a market or an asset. It’s you. Investing in your knowledge, growth and resilience is the true core of building wealth. You are the wealth strategy. Every skill you learn and experience you gain is a potential investment in your future. Prioritize your long-term goals, and don’t catch yourself getting complacent.

Financial independence isn’t just about money. It’s a mindset that starts with you. The steps you take today, no matter how small, can one day turn into financial freedom. Start right where you are and use what you have. Your future is worth the effort.

Need to start building your savings? Cadence Bank can help. With a variety of savings accounts for every lifestyle, we can help you start building toward financial freedom today. Click to learn more.

Sources:
https://www.forbes.com/councils/forbesfinancecouncil/2025/06/04/investing-in-yourself-an-overlooked-and-powerful-wealth-strategy
https://finance.yahoo.com/news/achieve-financial-independence-10-years-110034179.html
https://finance.yahoo.com/news/achieve-financial-freedom-9-steps-175605001.html

This article is provided as a free service to you and is for general informational purposes only. Cadence Bank makes no representations or warranties as to the accuracy, completeness or timeliness of the content in the article. The article is not intended to provide legal, accounting or tax advice and should not be relied upon for such purposes.