The Habit of Paying Yourself First
“The philosophy of the rich versus the poor is this. The rich
invest their money and spend what is left, the poor
spends their money and invest what is left.”
Jim Rohn, Author 1930 - 2009, American Entrepreneur,
Author, Motivational Speaker
As I see it . . . . . . .
The habit of paying yourself first
It’s not in the amount of the money you make . . . . It’s a matter of the philosophy that you live your life by.
With children we teach them to save their pennies . . . . and as time goes by they create a habit of saving money.
Some people can save only dollars . . . . while others will save hundreds . . . . and some will be able to saves thousands of dollars. It’s not the amount that’s important . . . . It’s the habit of paying yourself first . . . . and investing the money for you . . . . and your family’s future.
I would like to share a story with you about a real estate professional that I know very well.
Let me share a story with you . . . .
When she started in real estate she started with written goals . . . . She was committed to invest her money . . . . and to become financially independent. In her early years in real estate she worked at a survival level but even at that level she had a goal. She explained to me that with her financial goals she budgeted 5% of every closing would be put into her investment account.
She when on to explain that with her goals . . . . that once she get past her break even number she committed 10% of the income to be put into her invest account.
As her career stabilized she continued to use the ladder approach to investing her money.
Today she continues to invest 10% of her monthly breakeven income into her investment account. Once she get past her breakeven income she invests 25% of her income until it plateaus at a fix level . . . . and from that point she invests 100% of her income.
What start out by investing 5% of her incomes has turned into financial security. It’s not how much you invest that matters . . . . it’s the habit of investing that’s important.
The habit of paying yourself first . . . . is a grassroots investment strategy to pay yourself first from every commission check you receive.
©2015 Lou Ludwig Motivational Power Quote, Sales and Management Consultant, Success Coach, Speaker, Trainer and Author
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