15 Steps to Achieve Financial Freedom

Many people strive to reach the point of financial freedom, which is defined as having sufficient savings, investments,

Establish your financial objectives. If you don't first define what financial freedom means to you personally, it will be difficult to achieve it.

Liz Ewing, CFO at Marcus by Goldman Sachs, advises setting goals and considering the financial requirements of those goals.

Goals can be short-term plans like taking a vacation or purchasing a new car or they can be long-term plans like retiring.

Know your current financial situation. Regardless of whether you are just out of college or getting ready to retire,

Create a net worth statement, advises John Pelletier, director of Champlain College's Center for Financial Literacy in Burlington, Vermont.

In addition to totaling your debt, determine your expected income and locate any gaps in your financial situation, such as a lack of insurance or emergency funds.

Consulting with a professional may be helpful in this process, particularly if you have complex finances or are approaching retirement.

Schedule payments. Create a system for funding your accounts once they're set up. Many employers deposit paychecks in multiple accounts.

so that you can put aside money in your checking account, your regular savings account, and an emergency savings account.

You may be able to set up automatic, regular transfers from your bank account to other financial accounts for other savings goals.

Financial experts frequently advise saving 10% of your income for emergencies or other goals, and another 10% for retirement.