Free software is software that respects your freedom and the social solidarity of your community. So it's free as in freedom.
Paying isn’t wrong, and being paid isn’t wrong. Trampling other people’s freedom and community is wrong, so the free software movement aims to put an end to it, at least in the area of software.
A hacker is someone who enjoys playful cleverness—not necessarily with computers. The programmers in the old MIT free software community of the 60s and 70s referred to themselves as hackers. Around 1980, journalists who discovered the hacker community mistakenly took the term to mean “security breaker.”