“Financial Freedom” by Grant Sabatier, published in 2019, is a comprehensive guide to achieving financial independence at any age. The book is grounded in Sabatier’s own experience of going from broke to millionaire in just five years. It belongs to the personal finance genre and offers practical advice accompanied by concrete examples to help readers maximize their income, invest wisely, and achieve the freedom to choose how they live their lives.

Key Point: Understand the true value of time and money.

Action Step: Calculate your hourly worth and prioritize high-value activities.

Example: Sabatier emphasizes the importance of viewing money in the context of time. For instance, if someone earns $50,000 per year and works 2,000 hours annually, their hourly income is $25. This calculation helps people visualize the real cost of their purchases in terms of the hours they have to work to afford them.

Key Point: Adopt a high saving rate to quickly build your financial foundation.

Action Step: Use a budget tracking app to monitor and reduce expenses.

Example: Sabatier advocates for saving at least 50% of your income. He shares how he moved back in with his parents for a period and cut his dining out expenses drastically, which allowed him to save substantial amounts quickly.

Key Point: Increase your income through side hustles and passive income streams.

Action Step: Identify and start a side hustle that aligns with your skills and interests.

Example: Sabatier started a digital marketing consultancy on the side while working full-time. He states, “I used the skills I learned in my 9-5 job to offer freelance services on the side, which quickly boosted my income.”

Key Point: Understand and utilize different investment vehicles to grow your wealth.

Action Step: Open a brokerage account and automate investments into index funds.

Example: Sabatier explains the power of compound interest through the example of investing $10,000 in an S&P 500 index fund. Over 30 years, at a 7% annual return, the investment grows to approximately $76,122, illustrating the importance of starting early.

Key Point: Embrace minimalism to reduce stress and increase savings.

Action Step: Perform a “stuff audit” to eliminate unnecessary possessions and avoid new purchases unless absolutely necessary.

Example: Sabatier describes how adopting minimalism and selling his excess belongings on eBay not only cleared his space but also generated an extra $4,000 which he then invested.

Key Point: Focus on experiences and relationships rather than material goods for lasting happiness.

Action Step: Allocate funds and time to activities that foster personal joy and fulfillment.

Example: Drawing from personal experiences, Sabatier emphasizes spending on travel and relationships. He recounts how a trip to Japan with his friends created lifelong memories, in contrast to the fleeting joy of buying a new gadget.

Key Point: Achieve financial independence by reaching the point where passive income covers all living expenses.

Action Step: Calculate your Financial Independence (FI) number and set a target date.

Example: Sabatier explains how to determine your FI number by calculating 25 times your annual expenses. For someone with annual expenses of $40,000, the FI number would be $1,000,000. This figure is based on the 4% rule, meaning you can sustainably withdraw 4% per year.

Key Point: Automate your finances to eliminate emotional spending and optimize savings.

Action Step: Set up automatic transfers from your checking to your savings and investment accounts on payday.

Example: Sabatier automated his financial life by using tools like Personal Capital and automated transfers. This system ensured that a portion of his income was always directed towards savings and investments without any conscious effort.

Key Point: Create a personal plan to follow the steps outlined in the book to achieve financial freedom.

Action Step: Sketch out a five-year plan detailing income, expenses, savings, investments, and lifestyle changes.

Example: To illustrate, Sabatier offers templates and tools on his website that help readers form detailed plans. His personal three-column template includes goals, strategies, and timelines, ensuring a clear path to financial independence.

Key Point: Surround yourself with like-minded individuals to stay motivated and accountable.

Action Step: Join online financial independence communities, such as blogs, forums, or local meetups.

Example: Sabatier discusses the FIRE (Financial Independence, Retire Early) community’s role in his journey. Engaging with others who shared his goals provided support and new ideas, such as the importance of high-yield savings accounts and peer-to-peer lending.

Key Point: Use your financial freedom to make a positive impact in your community and the world.

Action Step: Allocate a portion of your time or income to causes you care about.

Example: Post-financial independence, Sabatier dedicated part of his resources to mentoring young entrepreneurs and contributing to educational charities, stressing the importance of giving back once you’re financially secure.

“Financial Freedom” by Grant Sabatier is a detailed, actionable guide to achieving financial independence at any age. By understanding the value of time, aggressively saving, hustling smartly, investing wisely, and optimizing both one’s finances and life for happiness, readers can construct a personalized blueprint to reach financial freedom. Sabatier’s personal anecdotes and detailed steps provide a clear path and the motivation needed to embark on this transformative journey.