Runway

Early in my career, I quit a full-time job at a mediocre ad agency to become an unpaid intern in a world-class ad agency. It was one of the best decisions I've ever made.

I had been saving judiciously to be able to make this move by living way below my means (no car, no cell phone, free rent in exchange for labor, and a diet of mostly rice and beans), and I knew that I only had a certain financial runway to do this - about six months.

It all worked out, and without this decision, I can say with certainty that I wouldn't have the life I have today.

The concept of having a runway always stayed top of mind, revolving around one question:

If I lost my job tomorrow, for how long could I pay my bills and maintain my lifestyle?

Early in my career, a six-month runway opened countless doors for me, thanks to my having no debt and a very low standard of living. This combination is key to building a runway.

The other is earning money and saving as much as you can afford to save.

Combining a high savings rate with a low spending rate means you're in runway-building mode.

The longer your runway, the more freedom you have in the decisions you make in life. And those decisions aren't just money decisions.

• Want to get out of an abusive relationship and need your own place? A long runway helps you do that.
• Want to quit a job you hate? A long runway helps you do that.
• Want to take a long break between jobs to do some world traveling? A long runway helps you do that.

Start with three months. Push to six. Reach for a year. Then two. Then five. Then ten.

Eventually, you work because you want to, not because you have to.

A long runway does that for you.