Wednesday 11 August 2021

Financial Freedom vs Financial Independence

Namaste and Happy Independence Month!

India got its Independence this month, when do you plan to get your Financial Independence?

When you are declaring your “FINANCIAL INDEPENDENCE DAY” ??


Why do we say it's Independence Day and not Freedom Day?


Financial Freedom means having no debts or financial obligations and also the ABILITY to purchase assets without having to rely on debt.


Financial Independence means you have so much money that your money (wealth) supports the lifestyle you want


Financial Freedom 

means you have enough money to cover all expenses like Food, housing, clothing, health even if you never work for another day in life again


Financial Independence

means you have enough of money to do all that of Financial Freedom has to offer PLUS also easily fund a LIFESTYLE that you want to have!


Lets take example of a baby.

As a baby, you would Financial Free to learn to stand and then start moving using the wall to support. You can move from Point A to Point B.

The baby has now freedom to roam all around the house without you having to either support to keep an eye on the baby



Is the baby INDEPENDENT to go out on its own to bring chocolate or a a packet of milk?
No…. isn’t it?



Exactly, the same way, Financial Freedom means you have no money issue at all and can live your life comfortably but you would continue to have 2nd thoughts on splurging on luxuries and in some cases, “COULD" need some kind of support in an extreme emergency situation


Financial Independence is YOU HAVE SO MUCH MONEY & WEALTH that even extreme emergency situation will not be able to shake your money (wealth) kitty  and you are living a life that you always DREAMT of!


So, in a sense, Financial Freedom comes BEFORE Financial Independence and it’s a fact that Financial Independence is  BIGGER & definitely WIDER


However, you need to understand that
Financial Independence is more about MINDSET because till you get Financial Freedom you cannot even imagine or fathom about Financial Independence

Meaning...unless you know how much money is enough for you NOT TO WORRY about the future expense, you will not be in a position to imagine about Financial Independence



Let me once again clear the point ….


You can cover all your expenses and conveniences without having to work ever, but you tend to look at your Portfolio and Bank Balances at least once in a while.



You can cover not only all your expense but also have a DO WHAT I ALWAYS WANTED life and also have no need to glance at your portfolio and Bank Balance at all!


In a sense, Financial Freedom means you are not worried about Your Flight Bill, Hotel expenses on your upcoming vacation cost as you have everything covered and actually looking forward to enjoying them.


Financial Independent you are not even thinking about HOW much expenses your upcoming vacation will be

You are more focused on WHAT to enjoy there.


Got it.... so Financial Independence will let you ENJOY your life BINDAAS





Financial freedom is having the monetary stability to do what you want in life without having to worry about your bank account.
Financial Independence is being able to take that amazing trip to the Andaman Islands without worrying about not coming into money issues It’s buying the house that your family dreams of and still have the funds to pursue your other interests.


Financial Freedom is having MONEY,
Financial Independence is having MONEY & TIME!

FINANCIAL INDEPENDENCE and FINANCIAL FREEDOM is the flexibility to maximize your time on earth in pursuing what you love, live the life you want without worrying about expenses.



With FINANCIAL INDEPENDENCE, you can purchase time!! (Explained more in my book DONT RETIRE RICH)



it does not mean RETIREMENT!


Financial  independence looks difficult but when you think deeply, Financial Independence is majority about MINDSET rather than about money.

So, if you are a person who is fine with Budget hotels and simple travel, even a Rs.2 lakhs trip to Singapore will give you deep satisfaction.

But if you are person who wants everything Hi-Fi and super luxury, then even a Rs.10 trip to the same Singapore will not give satisfaction.


So, Financial Independence is difficult to plan for as it is based on YOUR mindset where Financial Freedom is easier to plan for.

Either way, to get to Financial Independence achieving Financial Freedom is a necessity.

Whether its our Facebook posts, tweets, blogs, Telegram, Whatsapp messages, we have always been advocating Financial Independence since long and giving practical tips and ideas because everyone thinks about Financial freedom but very few aim for Financial Independence

So, to become Financially Independent get to Financial Freedom first and then you can consider Financial Independence.



To become FINANCIALLY FREEDOM and for that your PASSIVE income (any income where you don’t need to put ACTIVE EFFORT) gives you DOUBLE than your Active Income (or your Average Expenses) you are indeed FINANCIAL FREE.

Money that you are getting without you doing absolutely NOTHING and covering all your expenses is Financial Freedom.

Of course, it goes without saying that you shouldn’t any debt too. Break out of Debt.

Money that was going to pay for interest can now be routed to Wealth Creation and you are surely on the highway to achieve Financial Independence.


In a sense, I would say....

Financial Freedom is becoming a Crorepati (1 crore) 

Financial Independent is becoming a Drudpati (10 crores) 








It may be some day in future....

say for example, 29th February 2028

Declare that

29th February 2028 will be my FINDEPENDENCE DAY !!


29th February 2028 will be the day I will be FINANCIALLY INDEPENDENT



Denounce the King and declare your independence!

Who is the king?

Of course, Google says cash is king

Denounce Cash...dispose of it in Investments and declare that you are on the way to Financial Independence

Let us know in the comment box when will be YOUR Findependence Day ?


Take the Financial Freedom Pledge and become Financially free

Once you achieve that...we will focus on Financial Independence

Findependence Day is the day to celebrate your freedom from debt, from obligations, your freedom from fear about what will happen tomorrow, and most importantly your own independence and freedom to pursue!







And as I always say


RETIRE WEALTHY AND F.I.R.E (Financially Independent and Retire Wealthy)



Srikanth Matrubai


#Financial IndependencendependenceDay #HappyIndependenceMonth #Srikavi #DontRetireRich






All the best,
Srikanth Matrubai



Srikanth Matrubai, Author of the Amazon Best Seller DON'T RETIRE RICH



You are strongly encouraged to consult your Financial Independencenancial planner before making any decision regarding this investment. The views expressed here are the author's personal views and should not be interpreted as a recommendation to invest/avoid.


Srikanth Matrubai Author of the Amazon Best Seller DON'T RETIRE RICH

Do read the book and give your valuable feedback and request you to post positive comments on Amazon. 


You can purchase the book on Amazon and Flipkart 


For the best of ideas on where to invest to create Mountains of Wealth 

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  1. Thanks for making me understand the difference. I want to be financially independent

  2. Thanks A Lot Sir, for your easy way discuss the difference between Financial Independence vs Financial Freedom . Pranam Sir .

  3. Achieve Financial Freedom by following these simple tips and tricks. You can be debt-free and on your way to a bright future.



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