Want to know the best advice about money you can ever get?
Here it is...
Let's say that you are happy with the salary you get every month from your job. Now, you wonder where all your money went at the end of the month (and most of the time, two days after you get paid).
You start to think.
30% of it goes to pay the house mortgage.
20% of it goes to pay for the car.
10% of it is used to pay off credit cards.
5 percent of it is used to pay for utilities.
etc, etc, etc...
"That should work out well. I've taken care of everything. The same thing will happen again next month, and it will keep happening like that for the rest of my life."
Now you have to be careful.
If your car broke down, what would you do?
What would happen if you needed to fix up your kitchen after last night's storm?
What happens if you forget that you've spent more than your credit card allows?
What would you do if you got sick?
Things could be worse, so the saying "Fix your roof on a sunny day" is very true for you right now.
You don't want to end up in this situation, right?
There are a lot of things that could go wrong in our lives, but we'll never get ahead of ourselves until we realise that we need to plan for the worst.
Fixed salary could be good for you sometimes because you can plan ahead for what you want to do with your money. Even so, I am very sure that you still need a second source of income, preferably one that comes in regularly, to improve your financial situation at any level.
And the best thing you can do to improve your finances is...
PAY YOURSELF FIRST.
You're right!
Make it a habit to pay yourself right after you get your monthly paychecks. This is true whether you owe $300,000 on your house or have $100,000 in the bank. This habit will help for sure.
Let's see...
Every month, you've been paying back everyone you owe. You pay the bills, the banks, the mechanics, and who knows who else, but you don't get anything back other than the satisfaction of settling the score.
You forget to pay one more person, and that person is YOU.
Think of yourself as a person who has to pay you back. No matter what, you have to pay yourself at the beginning of every month. I recommend 10 percent of your salary. The more, the better), or you will stop being yourself.
Never forget to pay yourself first, and only after you've done that should you pay anyone else.
Hard?
Yes, at first. But once "Paying Yourself First" becomes a habit, you'll enjoy doing it because you'll know you're doing good things for yourself.
Give it a try. Do it again the next month. Then another, and then another.
PAY YOURSELF FIRST, because you deserve a lot more than the other bill collectors.
