With selling my shares of Stable Living, I acquired most of the properties Ryan and I owned together. This turned out to be very beneficial for both of us. I am a huge proponent of passive income and that is exactly what I will receive by getting the properties. With all the rentals Sam and I have now, we can technically be financially free.
Once Sam and I pay off a couple bills/loans we have, which are not high dollar value and will not impact our savings/investing money much, then we will be financially free. This means, we will have more money in passive income, then our current bills and living expenses. This is a great milestone for us to reach and I am super excited we have got to this point at our age. It is not the end all for us though, it covers our current living but it is not the standard of living we would like to have long term. We will be working on growing out passive income to $25k a month, to give us a higher standard of living, while allowing us to continue to invest with our passive income.
In all, we have reached our first stage of financial freedom at the age of 26 (me) and 28 (Sam). Our next stage I believe will be the $25k a month. At that level we can live comfortably at the standard of living we want. Our third stage, which we will work towards once we reach our next goal, will be the fuck you money stage of financial freedom. This stage is, you can buy whatever you like, do whatever you want, whenever you want. I listen to Andy Frisella talk about these stages on his Real AF podcast.
What we will be doing now, is switching over from living off of our earned income, to living off our passive income. Our earned income will be for investing now to grow our passive income. This will allow us to speed up our investing rate and help boost our passive income at an exponential rate. This means, if we want to increase our standard of living, we need to increase our passive income. We cannot tap into our earned income to live off of because it is allocated for investing. We have to be strict with our money allocations and live accordingly. By following the process, we will set ourselves up for a higher standard of living while sacrificing living above our means now. Sam and I have been following this mentality for the past 5 years which has allowed us to be in the position we are in today.
I am very happy with our success but we will not stop here, we will continue to progress and grow.
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