Financial Freedom is Less About Finance, All About Freedom
“Freedom of choice.”
Two years after graduating from nursing school, I bought my first property on a $22.50-per-hour job with barely any money down, thanks to a 730 credit score.
It was a duplex, and the tenant's rent covered my housing cost.
That was my first taste of how good credit opens doors.
Fast-forward two years. I started my first business with $39K in funding at 0% APR for a year—all by leveraging good credit again.
That business credit card earned me rewards points that subsidized my travel—a win-win-win.
Here’s the thing—good credit is the foundation of a free life.
Whether securing a home, funding a business, or earning rewards, credit gives you options and flexibility to create a life on your terms.
My strategy has evolved since then, but the journey to financial freedom is something anyone can start.
Here’s how you can begin your path to a better financial life.
The Basics of Financial Freedom
Understand That Personal Finance is Personal
It's not about how much you make or save—it's about what you do with what you have.
The bank invests the money you "save" in others’ businesses.
As a business owner, you can leverage other people’s money (OPM) through loans—if you build the right relationship with the bank.
Credit Score Tip: A decent credit score (720+) is your ticket to getting started. Click here to learn how.
Measure What Matters
You can’t improve what you don’t measure.
Financial freedom is a responsibility, just like physical fitness.
Your financial fitness requires consistent training and good habits.
Steps to Financial Fitness
1. Budget Intentionally
Budgeting isn’t about deprivation; it’s about intentional spending.
Plan your spending carefully—spend less than you make, invest, and then save.
2. Track Your Expenses
Making more money won’t solve your financial problems unless you track where it’s going.
Action Step: Categorize your spending (Income vs. Expenses), check your account statements regularly, and use tracking tools.
3. Use Credit Cards Wisely
Always pay your monthly statement balance in full to avoid interest.
Leverage credit cards with 0% APR periods and lines of credit for tax-free living.
4. Practice Value-Based Spending
Understand that price is what you pay, but value is what you get. A higher upfront cost can lead to long-term savings.
Pro Tip: Delegate low-value tasks to focus on activities that generate more value.
5. Invest First, Then Save
You can’t save your way to wealth; wealth comes from consistent investments over time.
Savings: Build an emergency fund for peace of mind and security.
Investments: Create a portfolio that allows flexibility and freedom in your life.
The 75-15-10 Financial Fitness Diet
For those finding finance complicated or intimidating, start with this simple rule:
Spend 75% (Maximum): Your total spending should be no more than 75% of your after-tax income.
Invest 15% (Minimum): Invest at least 15% of your after-tax income.
Save 10% (Minimum): Save at least 10% of your after-tax income.
To optimize: Increase your "minimums" and reduce your "maximum."
Note: If you’re a low-income earner, the priority should be increasing income and acquiring skills to elevate your earning potential.
Owning a Business: Your Gateway to Freedom
Owning a business is a powerful way to control your time and freedom.
In entrepreneurship, your business is your life.
Business is a game: “The game is rigged, but it’s a guaranteed loss if you don’t participate.”
The next newsletter will explore starting and leveraging a business to achieve a free and fulfilling life.
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Card Corner (Top Pick for Beginner Businesses)
Card Highlight: The Blue Business® Plus Credit Card from American Express
Current Offer: 15,000 Membership Rewards points after spending $3,000 in the first three months.
Why It’s Great: Earn 2x Membership Rewards points on the first $50,000 annually—all with no annual fee. Perfect for maximizing everyday spending.
Bonus: 0% intro APR on purchases for 12 months—ideal for managing cash flow or startup costs.
Note: This card keeps it simple with no bonus categories.
Transfer those 2x points to 20+ airline and hotel partners—don’t waste them on low-value redemptions; book our destination of the week
Featured Flight Deal of the Week:
Destination: Portugal
Business Class flights start at 60K points one-way.
Booking Airlines: Air Canada/Air France | Operating Airlines: TAP Air/AF Dates: Oct - Nov 2024
Available Routes:
EWR - LIS: 60K points + $57
EWR - LIS
CDG - EWR: 50K points + $391
CDG - EWR
Total cost: 110K points + $448
Average ticket price: $3,000, saving you $2,500!
Booking Tip: Transfer your Amex points to Air Canada and Air France to score this incredible Euro trip. Let your credit card company fund your next vacation!
Closing Thoughts
Financial freedom isn’t just about having more money—it’s about creating the freedom to live on your terms.
Whether it’s through budgeting smarter, using credit cards effectively, or leveraging points for travel, it all starts with building better financial habits.
It’s time to take control of your financial fitness and unlock the freedom that comes with it.
Share this newsletter with someone ready to start their financial fitness journey.
Let’s grow stronger together!
Ade O
The Leverage Letter