Close this search box.

Is Financial Independence Worth It? 10 Reasons To Become FI


Because financial freedom involves making meaningful sacrifices now, it can be hard to determine if the benefits of financial independence outweigh its short-term losses. Below are 10 reasons why financial independence is worth it for everyone. 

1. You can develop new hobbies and skills.

When you’re financially independent, your eight hour work day can be spent developing hobbies or picking up skills that actually interest you (perhaps unlike your day job…). Whether it’s water coloring, canyoneering, bread making, filmography, or off-roading, your interests can dictate how you spend your time. The more you learn, the more you are able to enrich not only your life but the lives of your loved ones as well (and you definitely won’t run out of something to talk about at your next dinner party).

2. You can focus on your physical and mental health.

According to The American Institute of Stress, 94% of US workers report experiencing stress at their workplace, and 76% of US workers said that workplace stress affects their personal relationships. The AIS also states work-related stress causes 120,000 deaths and results in $190 billion in healthcare costs yearly. It is clear working takes a toll on our physical and mental health, but when you are financially independent, you have the precious time and energy to focus on caring for your mind and body. 

3. You can be present with those you love.

Whether you have children, a partner, or aged parents whom you care for, you can spend more time experiencing life’s most precious moments when you are no longer worried about paying your bills. Being financially independent gives you the freedom to not only spend more time with them now but care for them more effectively in the future by saving for a child’s education, helping fund a partner’s dream, or covering an elderly relative’s healthcare expenses.

4. You can concentrate on your own ambitions.

Maybe you’ve always wanted to write a play, join the Peace Corps, or backpack through Europe. Maybe you want to open a restaurant or patent an invention. Whatever your dreams are, becoming financially independent allows you to invest your time and money in something you are passionate about and take risks. If it doesn’t work out, you are secure enough to pivot and try something else!

5. You can reap the benefits of financial security.

This might appear like the most obvious benefit to financial independence, but its value cannot be shortchanged (pun intended). According to Yahoo, 64% of Americans will retire broke. Because financial independence is based upon generating enough income to cover your expenses indefinitely, when you become financially independent you will be able to live your life in a state of financial stability and security (which is unfortunately not common enough).

6. You can volunteer and serve more.

Serving others is one of the most rewarding ways we can spend our time, but it’s hard to carve out one more hour to serve on the PTA or volunteer at the local soup kitchen when we’re already working 9-5 and commuting two hours a day. In a study published by Social Science and Medicine, people who volunteered monthly were 12% more likely to report being “very happy” and someone who volunteered weekly was 16% more likely to report being “very happy” (which is the equivalent happiness improvement as moving from an income of less than $20,000 to somewhere between $75,000-$100,000). Apparently you can buy happiness: you buy it with your time!

7. You can future proof your career.

There are many reasons your current job is not a guarantee: your line of work could be replaced by automation, your company could downsize, you might need to relocate due to a family member’s job change, or your health might not always support your line of work. Becoming financially independent completely mitigates this risk because you dictate the work you do. You participate in the type of work you want, when you want, and where you want. 

8. You can become location independent.

Have you ever wanted to work from a beach in Bali, or move to a rural farm in the midwestern US and grow your own food? When you’re financially independent, you are no longer tied to an office location; you can choose where you want to stay and for how long. Or you can do what so many members of the financial independence community do: you can travel full-time! If being on the road all year doesn’t appeal to you, consider the freedom in choosing where you would like to call home based only on what brings you joy, and not on what will bring you the next paycheck.

9. You can have more fun.

Becoming financially independent is not all about scrimping and eating Top Ramen. It’s about doing the necessary work to have enough to experience life the way you’d like. The money you used to spend paying for your public transit pass to commute to work can be spent dining at one of your favorite restaurants, appreciating a concert, or skydiving. Once you’ve reached financial freedom, you can stop being in survival mode and enjoy celebrating financial milestones with mini-retirements (i.e. months or even years of extended traveling or taking a sabbatical from work to spend every day with loved ones).

10. You can improve your personal character.

Becoming financially independent naturally provides you with an opportunity to develop advantageous traits such as discipline, time management, prioritization skills, or excellent work ethic. It is so easy to think of character development as something abstract, but the journey to financial freedom provides a concrete framework to assist you in setting goals and measure success in personal improvement. 

If you’re not convinced now to become financially independent, you might just be one of those people who doesn’t like chocolate, too… If you’re not already on the path to obtain financial freedom, it’s time to take control of your time.

Picture of Bethany


Bethany works in technology when the sun is shining, but when the stars come out, she writes about personal finance, financial independence, and holistic living. She enjoys cooking, playing tennis, skiing, and floral design.
Join the Climb

Subscribe for tips on your journey towards financial independence.

Reach Your Summit