Automating Financial Independence: Build Your Defense and Offense for Long-Term Success

When it comes to money, success isn’t about luck — it’s about having a system. In this episode of the Roy Matlock Jr. Money and Business Hour, Roy explains how to take control of your finances, automate your savings, and set up a winning defense and offense strategy to secure your financial independence.

Why a Plan Matters

Many people want a better year financially but don’t stop to put a plan in place. Without a clear system, it’s easy to stay stuck in debt or living paycheck to paycheck. Roy reminds us that the first step is to stop going in the wrong direction — then chart a course forward with a goal, a plan, and a schedule (GPS). Just like you wouldn’t drive without directions, you shouldn’t manage your finances without a roadmap.

Step 1: Define Your GPS

Your GPS is simple: Goal, Plan, Schedule.

• Goal: Decide how much income you’ll need in retirement or for other long-term objectives.
• Plan: Calculate the savings and investments needed to reach that number, factoring in inflation and expected growth.
• Schedule: Automate contributions so you consistently make progress year after year.

For example, if you want $40,000 per year in retirement income on top of Social Security, you’ll need to build an account worth about $1 million. Working backward helps determine how much to save today.

Step 2: Build Your Defense

Defense protects you from financial setbacks. Without it, even the best growth strategy can fall apart. Defensive steps include:

• Budgeting: Create a controlled spending plan in advance so you always know where your money goes.
• Emergency Fund: Save 3–6 months of expenses to keep you out of debt when life happens.
• Debt Reduction: Pay off high-interest credit cards and car loans to free up cash for savings.
• Insurance: From life and disability to liability and health coverage, the right protection keeps you from losing what you’ve worked for.
• Estate Planning: A will and living trust ensure your legacy is protected and your family isn’t left unprepared.

Step 3: Go on the Offense

Once your defense is secure, it’s time to grow. Offense means putting money to work through investments, retirement accounts, and tax-advantaged plans. Key strategies include:

• Pay Yourself First: Treat savings like a bill and automate it every month.
• Maximize Retirement Accounts: Contribute to your 401(k) or IRA and take advantage of employer matches.
• Understand Compound Interest: The rule of 72 shows how faster growth rates can double your money more quickly.
• Diversify: Spread investments across asset classes such as stocks, bonds, mutual funds, ETFs, and real estate.
• Tax Planning: Use Roth accounts, HSAs, and other strategies to minimize taxes and keep more of your gains.

Step 4: Automate for Success

Automation is the secret to consistency. By setting up automatic contributions to your retirement accounts, mutual funds, or other investments, you ensure that saving happens whether you think about it or not. Roy emphasizes that automation creates “automatic financial independence” because it removes emotion and discipline struggles from the process.

Even small amounts add up. Setting aside just $250 a month for a child’s investment account, for example, teaches them the value of saving and creates a foundation for their financial future.

Step 5: Review and Adjust

A plan isn’t set-it-and-forget-it. Regular reviews — ideally with a financial advisor — allow you to adjust for market changes, update your insurance, and rebalance your investments. Annual checkups keep you aligned with your goals and help you make smarter decisions as your situation evolves.

Achieving Financial Independence

Why Professional Advice Matters

Roy draws a parallel to golf: even as a competitive player, he still takes lessons from professionals who study the game full-time. The same principle applies to money. Financial advisors bring expertise, experience, and objectivity that most individuals can’t match on their own. Partnering with a professional helps you avoid mistakes and maximize opportunities.

Conclusion: Create Your System Today

The worst outcome is outliving your money. By combining a strong defense, an aggressive offense, and consistent automation, you can build a system that secures your financial independence. Don’t wait for another year to pass by — start now, and give yourself peace of mind for the future.

🎧 Want to hear the full breakdown on building financial independence? Listen to the full podcast episode here with Roy Matlock Jr.

Business Owners on the Air with Roy

Are you a successful small business owner, or maybe you know someone who is! Roy wants to interview business owners who have success stories for inspiration to our listening audience, to share their journey from starting out to success. Nominate someone you may know, or yourself, by clicking here.