Pay Yourself First

In order for Pay Yourself First to be effective, the process has to be automatic. Whatever you decide to do with the money you’re paying yourself—whether you intend to park it in a retirement account, save it as a security blanket, invest it in a college fund, put it aside to help you buy a home, or use it to pay down your mortgage or credit card debt—you need to have a system that doesn’t depend on your following a budget or being disciplined. I actually started by Paying Myself First just 1 percent of my income. That’s right—only 1 percent. I was in my mid-twenties, and I wanted to make sure it didn’t hurt. Within three months, I realized that 1 percent was easy, so I increased the amount to 3 percent. It was around then that I met the McIntyres and said to myself, “Enough is enough—I want to start young and finish rich.

– The Automatic Millionaire: A Powerful One-step Plan to Live and Finish Rich – Amazon Link