You register for an upcoming meditation retreat and enroll in a new nutrition program. You invest in new hiking boots for your whole family before your next camping trip. After 20 laps in the pool, you drop into the local shelter to help serve lunch to homeless people. If you’ve attained financial independence, these occasional indulgences (or whatever yours might be) could become realities.
Financial independence isn’t just about escaping the 9-to-5 grind; it’s about redefining the meaning of work and retirement. I believe in the idea of “early retirement” as the freedom to pursue meaningful endeavors and engage in work that aligns with one’s passions and values. Whether it’s starting a business, volunteering, or pursuing creative endeavors, financial independence provides the flexibility to design a life filled with purpose and fulfillment.
At its core, financial independence is about achieving a state where your assets generate enough income to cover your expenses, allowing you to live life on your own terms. It means you can do what you want when you want—take a trip at a moment’s notice, volunteer for a charity, sit at home and relax, or work if you like—without anyone else providing the funds. It’s not necessarily about amassing vast wealth but, rather, optimizing your resources to align with your values and priorities. At its core, it’s very simple: spend less than you make, save the difference, and invest it wisely.
The Path to Financial Independence
Achieving financial independence is a journey that requires discipline, intentionality, and a willingness to challenge conventional thinking. To begin, it is important to adopt a value mindset and assess the necessity of expenses. Instead of focusing on material possessions, invest in experiences that bring joy and fulfillment. By eliminating frivolous spending and prioritizing what truly matters, individuals can accelerate their journey to financial independence.
The Power of Long-Term Investing
The IRS defines a long-term investment as one you hold for longer than 12 months. However, holding an investment much longer, think decades—can prove instrumental in growing your assets. Time plays a key role in building wealth.
Retirement Planning and Saving
Central to the financial independence philosophy is the concept of the savings rate—the percentage of income saved or invested rather than spent. I personally advocate for achieving a high savings rate, often aiming for 20-50% of income. By prioritizing savings and investing wisely, individuals can harness the power of compounding to help build wealth rapidly and work to reach financial independence sooner than expected.
Saving for retirement should start as soon as possible. Socking away money for your future years early on allows you to take advantage of compounding interest.
As great as saving is, investing in retirement accounts, such as 401(k)s, individual retirement accounts (IRAs), or Roth IRAs, is just as helpful.
Find Your Financial Independence
Embracing financial independence isn’t just about having a specific dollar amount in your bank account; it’s about reclaiming your time, autonomy, and happiness. This was just a quick snapshot of some of the ideas you can employ to unlock the freedom to live life on your own terms. So, whether you’re dreaming of early retirement, pursuing your passions, or simply seeking a more fulfilling lifestyle, remember that financial independence is within reach—and the journey can be as rewarding as the destination.
About Marcus
Marcus Miller is Wealth Manager and Shareholder at Deerfield Financial Advisors, a fee-only financial services and wealth management firm with offices in Indianapolis and Chicago. His role includes strategic planning, income tax optimization, insurance and estate planning, and investment management for a diverse group of clients. Implementing Deerfield’s unique financial planning approach called Wealthwhile℠, Marcus helps clients live their best lives and focus on their most worthwhile passions. He is passionate about helping them pursue, experience, and maintain true financial independence for their families—without the sales pitch. He truly enjoys helping people and developing deep, meaningful relationships with clients.
Prior to joining Deerfield in 2012, Marcus gained valuable experience at a Big Four accounting firm, a nationally recognized brokerage house, and a distinguished independent advisory firm. He holds a Bachelor of Science and Master of Science in Accounting from Ball State University, the Certified Public Accountant and CERTIFIED FINANCIAL PLANNER™ designations, and is a NAPFA Registered Financial Advisor. Marcus serves on the Board of Happy Hollow Children’s Camp and on the Planned Giving Committee at the Indianapolis Zoo. He is a member of the Professional Advisor Leadership Council at the Central Indiana Community Foundation (CICF) and is involved at his daughters’ school.
Marcus resides in Carmel, IN, with his wife, Andrea, and their two daughters. They love spending time outdoors hiking, bicycling, camping, and traveling to national parks. (They have a goal to visit all 63 national parks; Yosemite is the current favorite.) An avid reader, especially of non-fiction, history, and finance books, Marcus also trains in Brazilian Jiu-Jitsu, likening it to a physical chess match that involves problem-solving and mental strengthening with physical consequences. To learn more about Marcus, connect with him on LinkedIn.
