Read time: 3.5 minutes

Hey friend,

I always thought “financial freedom” meant earning a lot of money.

In college, I thought a 6 figure salary would give me the life I’d always imagined.

… But that wasn’t true. 

Then late one Friday night (at 9:30 PM) in the office, it hit me...

Earning a lot of money didn't mean I was financially free— sometimes it just meant more work. My job on Wall Street required me to work Monday to Friday from 8 AM to 10 PM— some days even on the weekends.

All my time and energy went into my job, leaving no room to enjoy anything. It was a painful lesson, but it completely changed how I viewed financial freedom.

In today's newsletter, I want to share what financial freedom actually means, because understanding it is your first step toward achieving it.

Why it’s more than a number 

The easiest way to show you financial freedom is with a quick example.

Meet Rick and Samantha. They’re both 35-year olds living in the same city.

Rick

• Monthly Income: $20,000/month from a high-paying marketing executive job

• Investments: $300,000 investment portfolio, generating $3,000/month in passive income

• Monthly Expenses:

  • Lifestyle: $8,000/month

  • Debt Payments: $14,000/month (mortgage, cars, credit card debt etc.)

Despite Rick’s high income and investments portfolio, he’s stuck. If he lost his job, his passive income wouldn’t even cover a month of his monthly expenses, meaning he has to keep working 80 hour weeks to keep up.

Samantha

• Monthly Income: $6,000/month from freelancing

• Investments: $100,000 investment portfolio, generating $2,200/month in passive income

• Monthly Expenses:

  • Lifestyle: $1,500/month

  • Debt Payments: $500/month (credit card debt)

Samantha earns less than Rick but has more financial freedom. She spends less than she earns, allowing her to choose work that align with her values. Her passive income from her investments can also pay for her monthly expenses, meaning she could stop working if she wanted to.

So what does it mean?

Financial freedom means different things to different people… For me, it’s about 3 things:

1. Having options, so I can choose what I want to do.

2. Having the security to know that my investments and emergency fund can cover my expenses.

3. Practicing contentment—living within my means and being at peace with it.

Fortunately, I was able to make some smart money moves and investments that ultimately allowed me to achieve financial freedom.

Today, I’m writing this email while traveling in Istanbul, Turkey —  now I get to make my own schedule, choose the work I want to do, and say no to anything that doesn’t feel right. 

But enough about ME. I'm curious WHAT financial freedom means to YOU so please hit REPLY and share your story.

For example, maybe you’re passionate about your career and want to go all in. Maybe you want to be able to provide for the people you love. Or maybe you want to travel the world.

If you’re having trouble figuring out your definition, ask yourself: What would you do if you didn’t have to worry about money? What would motivate you if money wasn’t a concern?

To making smarter money moves,

— Vincent Chan

My favorite things this week

Doner Kebab: Like I mentioned, I’m in Istanbul, Turkey right now and I can honestly say I’ve had some of the best Doner Kebabs here in my life… But I learned you should always get them before 1 PM because that’s when they’re the juiciest and freshest. Fun fact: Mexican Al Pastor tacos were inspired by Doner Kebabs.

Tours Guides: I used to think spending money on tour guides was a waste of money but I was wrong. I went on a food tour and a cultural tour throughout Istanbul and I learned so much that I otherwise wouldn’t have. For example, I went to the Hagia Sophia Mosque and if I didn’t have a tour guide, I wouldn’t have learned that some of the marbles used in its construction are so rare that they’re virtually extinct and can’t be found anywhere else today.

Trying McDonalds in Every Country: One of my bucket list goals is to try McDonald’s in every country I visit. I love that each country has unique menu items that isn’t sold anywhere else. Plus, McDonald’s outside the US is just so much better.

PS: I want to hear from you! Want to see more (or less) of this content? Let me know your feedback here

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