We dream of it all the time.

The big score.

Hitting that one in a million.

Becoming the Group 1 winner of a TOTO pool worth $1.5 million dollars.

That is when we are financially free! No more stupid bosses. No more deadlines. No more rat-race!

Who doesn’t want to be financially free?! I too dream of hitting the group 1 TOTO prize and I do occasionally wager $1 or $2 on TOTO if I happen to be near to an outlet that doesn’t have a queue.

However, the reality is that financially free is within our grasp. It happens when we realise that strking the “lottery” is when you finally grasp the formula for achieiving financial freedom.

And what is that formula?

Luck in finding the financial freedom formula
The “luck” I am talking about here is not the “luck” that is involved in winning lotteries and sweepstakes. The “luck” is about the ability for you to finally understand that:

Financial freedom = living within your means + saving/investing + growing & protecting your means.

It is that simple. If you can master the principles above, then you are well into your journey towards financial freedom.

It was after reading, “Your Money or Your Life” by Joe Dominguez and Vicki Robin that I finally understood the journey I was in.

The journey requires you to understand that you must conquer your own desires and wants. You need to conquer them enough to make sure they are within your means. That is all.

If you can do that, the other aspects start to fall into place.

I read the book, “The Millionnaire Next Door” where I learnt that millionnaires were mostly self-made people who worked hard and lived simply in order to achieve personal net worth of $1,000,000 excluding their owner-occupied homes.

People who inherit their wealth form the minority of the millionnaires surveyed in the book.

Luck is made through hard work
I count myself fortunate in that I was able to learn the formula to financial freedom early in my life. It was early enough that I set out and managed to pay off my housing loan of $270,000 before I hit 37 years.

It was early enough for me to understand how to achieve work-life balance and to value my family and my daughter who continues to bring me immense joy.

It was early enough for me to realise that happiness lay not in the amount and nature of “stuff” I could acquire in my life. But that it was my personal net worth and the quality of my daily experiences in life that mattered.

The hard work came from persevering for 15 years in my career as a CPA.

The hard work came from spending many weekends and evenings reading many books, blogs, websites and magazines on personal finance.

The hard work came from learning and understanding how to invest in fixed deposits, treasury bills, equities, unit trusts/mutual funds. The hard work came from learning more about myself in this journey towards financial freedom.

I count myself lucky in that my parents are able to take care of themselves in terms of retirement and medical costs and thus I only have to look after my family and myself.

I count myself fortunate that I was given the opportunity to maximise my education and was able to graduate with a Bachelor of Accountancy that allowed me to build my career as a CPA.

I count myself blessed that I have made it through full-time and reservist obligations in the Singapore Armed Forces alive as I know of people who didn’t make it alive.

What do you think is the role of “luck” in your own journey towards financial freedom and through life?

Share with Panzer in the comments section.

Be well and prosper.

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