• fabianlau

Who do you pay first?

Updated: Apr 8, 2020


When water is poured, it flows out to fill the shape of any container or surface and it's not easy to retrieve. Money, often relates to as 'water', flows out easily and usually you won't see it again.

If you lack an objective set of financial goals for your life, you probably reach the end of each month to find yourself thirsty or dry up. You vow that next month will be different but it never is.

Why? Because your pay cheque always flows to pay others first. Some examples of others are your mobile providers, fitness gym, car instalment, Groupon, GrabCab, Starbucks, A&F, Pandora, airline tickets, hotels, then finally pay to yourself. In fact, it isn't pay, it might just be the remainder that is in your account.

"One of the oldest golden rule of personal finance is to

'Pay Yourself First'."

One of the oldest golden rule of personal finance is to 'Pay yourself first'. Simply means: before you pay your bills, buy your groceries, do your shoppings, or anything else, set aside a portion of your income to save for tomorrow. The first bill you pay each month should be to yourself.

The best way to develop a savings habit is to make the process as painless as possible. Make it automatic, make it invisible. If you arrange to have the money taken from your pay cheque on the day you receive it, you'll never know it's missing. Decide on an amount you can commit to for at least 6 months and immediately pay that 'bill' by channeling the money in to your 2nd or 3rd bank account, investment account, retirement account, etc.


"Decide on an amount you can commit to for at least 6 months

and immediately pay that 'bill'."


Taking control of your finances creates a sense of empowerment. It is some thing you will experience for yourself when you make the decision that being financially independent and secure is more important than impressing the world with material possessions.



#finances #financialplanning #medicalinsurance #endowment #savings #insurance #wealthdestined #wealth #advisory #money

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