4 min
How to grow wealth using the Pay Yourself First Strategy? My Two Fils
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- Inversiones
Every month when you receive your salary, you pay so many people!
You pay your...
Landlord or the bank for the house
You pay for the electricity and water
Mobile, telephone and internet
Your Children's school
The Supermarket for groceries
Apple, Netflix, Amazon
The list goes on and on...
But when do you pay yourself, or do you even pay yourself at all?
Paying yourself first is saving money for your future before spending on your needs, wants, and, more importantly, luxuries!
It is one of the fundamental principles of financial success.
The pay yourself first strategy is quite simple to understand, isn't it?
But it looks like it is not so easy to implement!
Because not many are following this strategy, and among those who do, only a few are doing it consistently.
Why is it so difficult?
You may find it difficult if you follow the traditional budgeting approach of saving what is left after bills and payments. It is quite possible that not much is left after spending on your needs, wants and luxuries. And sometimes there could also be too much month at the end of money.
Reminds me of the funny but ironic song Too Much Month (At The End Of The Money) by Marty Stuart. Listen here...
You could keep going back to this comfort zone, with an excuse that bills come first or I don't have enough for today; how can I think about the future?
So how do you get around this?
The best and the easiest way to pay yourself first is by following the Payday Savings Strategy.
It is deciding how much you can and want to save, automating the savings to coincide with your payday, and then spending the rest guilt-free and at your discretion.
Set up a Systematic Investment Plan(SIP) on or just after your payday. So that a particular amount is debited from your account and invested automatically into the assets of your choice.
So let's say you earn 30000 Dhs a month, and you can and want to save AED5000 every month. Then you could set up an automatic transfer every month(5000) into a savings account or an Systematic investment plan and spend the rest(25000) on your needs, wants, and luxuries.
it not only helps you accumulate wealth consistently, it also helps you harness the power of compounding and the dollar cost averaging.
Isn't this a simple and efficient way to pay yourself first and accumulate wealth consistently.
Let me know what you think and arrange a free consultation to know more about SIP, Dollar cost averaging, power of compounding and many other useful financial concepts.
Click http://bit.ly/Meet-Damodhar-Mata to arrange a free consultation.
Every month when you receive your salary, you pay so many people!
You pay your...
Landlord or the bank for the house
You pay for the electricity and water
Mobile, telephone and internet
Your Children's school
The Supermarket for groceries
Apple, Netflix, Amazon
The list goes on and on...
But when do you pay yourself, or do you even pay yourself at all?
Paying yourself first is saving money for your future before spending on your needs, wants, and, more importantly, luxuries!
It is one of the fundamental principles of financial success.
The pay yourself first strategy is quite simple to understand, isn't it?
But it looks like it is not so easy to implement!
Because not many are following this strategy, and among those who do, only a few are doing it consistently.
Why is it so difficult?
You may find it difficult if you follow the traditional budgeting approach of saving what is left after bills and payments. It is quite possible that not much is left after spending on your needs, wants and luxuries. And sometimes there could also be too much month at the end of money.
Reminds me of the funny but ironic song Too Much Month (At The End Of The Money) by Marty Stuart. Listen here...
You could keep going back to this comfort zone, with an excuse that bills come first or I don't have enough for today; how can I think about the future?
So how do you get around this?
The best and the easiest way to pay yourself first is by following the Payday Savings Strategy.
It is deciding how much you can and want to save, automating the savings to coincide with your payday, and then spending the rest guilt-free and at your discretion.
Set up a Systematic Investment Plan(SIP) on or just after your payday. So that a particular amount is debited from your account and invested automatically into the assets of your choice.
So let's say you earn 30000 Dhs a month, and you can and want to save AED5000 every month. Then you could set up an automatic transfer every month(5000) into a savings account or an Systematic investment plan and spend the rest(25000) on your needs, wants, and luxuries.
it not only helps you accumulate wealth consistently, it also helps you harness the power of compounding and the dollar cost averaging.
Isn't this a simple and efficient way to pay yourself first and accumulate wealth consistently.
Let me know what you think and arrange a free consultation to know more about SIP, Dollar cost averaging, power of compounding and many other useful financial concepts.
Click http://bit.ly/Meet-Damodhar-Mata to arrange a free consultation.
4 min