This is a continuation of the Five Steps to Financial Freedom Series, for the previous post please refer to Five Steps to Financial Freedom Step 2 – Get Rid of Unnecessary Debt Part 2 Five Steps to Financial Freedom Step 2 – Get Rid of Unnecessary Debt Part 1 Five Steps to Financial Freedom Step 1 – Boost Your Active Income Concept of Passive Expenses and Creeping Negative Cash Flows While the main topic of my website is Making Passive Income, incurring unnecessary debt is doing the opposite, creating Passive Expenses instead. In Part 2, we saw how exorbitant some of those interest rates are and it would be tough for your investments to yield returns higher than most of the interest rates. Also, having Passive Expenses means you are setting yourself backward instead of moving forward toward your goal of financial freedom. You would have to work even harder ......