What does it mean to be independent?
An independent person is one who does not depend on anyone to survive and carry out all their activities.
Eric Yáñez, CEO and founder of the mortgage loan buyer Hola Casa, explains that there are two types of independence:
The first has to do with independence from home, which is achieved when you stop living with your parents, whether you rent or have your own house. The second is financial independence, in which you are able to cover all your expenses.
Among the topics to take into account when talking about finances are money management, protecting assets, foreseeing possible contingencies and moving towards solid financial freedom, points out Juan Luis Ordaz, director of financial education at Citibanamex in a report.
How to achieve financial independence and not die trying?
To achieve financial independence, more than earning a large sum of money per month, you have to manage your resources intelligently, otherwise, it doesn’t matter if you earn hundreds of thousands of pesos; there will be no money that will reach you.
Although there is no single recipe or path to be financially independent, there are a series of steps you have to take to reach that goal, considers the Citibanamex specialist.
1. It is important that you create the habit of saving. In the country there are 33 million adults who do not save. Periodically allocate a percentage of your income as if it were a “fixed expense” and maintain that habit over time.
2. Keep in mind that when you leave your parents’ house you will be responsible for payments such as rent, food, laundry and home cleaning; as well as the purchase of supplies to carry out these tasks. Also, consider that now you will have to pay for gas or the means of transportation you use.
It is recommended not to allocate more than 50% to pay rent; The ideal is that you use 30% of your total income for this purpose.
3. Make a monthly budget and stick to it. Try to make this planning realistic and allocate a percentage to treat yourself. You don’t have to allocate everything to fulfill your obligations. Reduce ant expenses such as candy, coffee, chocolates, tips, among others.