Why are you on the Path to FI?
Why are you on the path to Financial Independence?
It has to be more than running away from a job you dislike or even hate.
You need to run towards something. Towards a life you can’t wait to live into.
You have to want something more than you want stuff.
The average American lifestyle just isn’t going to cut it. You’ll always be stressed financially, you’ll always be on that knife’s edge of financial insecurity.
As Jonathan would say, “you’re born to do more than pay bills and die.”
But FI doesn’t just happen, you must take intentional actions, day after day, year after year to get there.
So, as we start this 2026, I ask you to take 10 minutes and reflect on why you’re on the Path to FI and what your future FI life looks like.
Really feel into that and imagine living that life.
What are you going to do today to help make that life a reality?
That journey touches all areas of your life, but starts with something concrete and simple: Find one thing to cut or reduce out of your monthly budget this very month.
Small actions lead to big results, and no matter where you are on the Path to FI, you can make one change this month to get your financial life more optimized.
Annual Financial Checkup
A few years ago, Jonathan and I released Episode 358 of the ChooseFI podcast and even though we titled it the “Getting Started Audit” it just as accurately could have been the “Annual Financial Checkup” which I think we all need.
Give the episode a listen, as it’s a real back to basics look at your financial life and why it’s so important to do at least an annual review of your:
- Net Worth. List out all your assets and liabilities by account and then figure out your current net worth. I use a simple excel spreadsheet to log all this information.
- Paystub. Most of us never take this 5-minute review of our paystub to see what is truly being deducted every pay period. This is the perfect time to adjust your income tax withholding with HR if you’re getting too large a refund and want to have that money throughout the year.
- Expenses. Look quickly through your bank and credit card account statements to get a sense of what your life costs, what recurring bills you’re paying every month, and if anything significant has changed since your last financial checkup.
- FI Number. Once you’ve determined what your life costs (your annual expenses) you can determine your Financial Independence number by multiplying that number by 25 using the “4% rule of thumb” for safe withdrawals. If your annual expenses are $60,000, multiply by 25 to get a FI number of $1.5 million.
As always, pursuing FI is all about taking action! Do the work now and move forward confidently with your financial plan.