Wed Sep 18 2024, by Tyler Gardner

How to Achieve Financial Freedom

Here is exactly how you're going to separate yourself from your friends and become financially free.

I'm Tyler, I'm a former financial advisor and portfolio manager. Now I make financial content for free so that you don't have to pay for it.

1. Open a High-Yield Savings Account

You're going to open a high-yield savings account where you can still get between four and 5% on that money. Commit 30 to 40% of your next paycheck to that account. By earning that four or 5% immediately on your money, congratulations, you're now keeping up with inflation for your short-term or immediate goals.

2. Invest in a Brokerage Account

Next, you're going to put 3 to 5% of that paycheck directly into a brokerage account and invest it in a low-cost index fund. Not only are you now an investor, but you also have a fund set up for your short or midterm goals that will most likely outpace inflation and will eventually be taxed at a lower rate.

3. Contribute to a Retirement Account

Finally, you're going to place another 3 to 5% of that paycheck into a retirement account, such as a 401K, IRA, or 403B. Congratulations! According to the Survey of Consumer Finances, you're now among the illustrious 54% of Americans who are saving for retirement, increasing your chances of affording your long-term goals.

If any of this is helpful, like and follow, and I'll keep trying to get you one step closer to where you need to be.

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