How much money do I need to save before leaving my job?

Great question! The right amount to save before leaving your job isn't one-size-fits-all, but there are some guidelines to help you figure out your magic number. First, start by analyzing your monthly expenses. Look at rent, utilities, groceries, insurance, and any debt payments. Don’t forget to factor in irregular costs like car maintenance or annual subscriptions.

Many recommend saving at least six months' worth of expenses, but I tend to advocate for closer to a year's worth if you're diving into freelancing or building passive income streams. This gives you a cushion while you experiment and find your footing. It takes time to replace a paycheck with freelancing gigs or to build a robust portfolio of passive income sources.

While saving, explore ways to reduce your expenses. Simplicity and frugality during this transition can make your savings last longer and reduce financial pressure. Also, before you leap, focus on building a small client base or generating income on the side. This not only boosts your savings but also tests your readiness for full-time freelancing.

A personal anecdote—when I left my corporate job, I realized no amount of planning could predict everything. That's why having an emergency fund beyond your basic savings is a safeguard against unexpected challenges.

Remember, this transition is an investment in your future. Redefine success for yourself and consider not just the financial aspects, but how this change aligns with the life you want to live.