New Delhi, March 24 -- Financial freedom sets the foundation of a happy life. This is a goal that many aspire to achieve across the country. Still, it is often very difficult to quantify, i.e., measure actual achievements and quickly check whether you have actually reached your desired financial freedom figure or not. The '33x rule' comes in handy during such situations; it offers a simple yet effective way to benchmark your financial independence.

This rule is based on research by American financial planner William Bengen on the 4% safe withdrawal rate. Bengen's analysis showed that retirees can safely withdraw about 4% of their portfolio each year without running out of funds over several decades.

Following this, the '33x rule' builds...