Financial Freedom

Stages of Financial Freedom

Stage 1:  Interest on Debt is more than possible savings from income.

Stage 2: Interest on Debt is less than possible savings.

Stage 3: Debt free

Stage 4: 6 months of Emergency funds, in-case of loss on income. 

Stage 5: 1 years worth of annual expenses, Excluding emergency funds. 

Stage 6: 5 years worth of annual expenses, Excluding emergency funds.

Stage 7: 10 years worth of annual expenses.

Stage 8: 25 Years of annual expenses (Financial Freedom)