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Simple secret of the way to wealthHave you heard of this simple secret of the way to wealth? "Pay yourself first". You might have heard this before. I want to stress it again. This Principle of "Pay Yourself First" is a very powerful habit. Anyone who wants to be a millionaire should start to practice this principle.
For the benefit of those who first heard of this term, "Pay Yourself First", I'll take a little time to explain it. Paying yourself first means the moment you receive your paycheck or any form of income, take a portion of it, put it into a personal account where no one can touch it including yourself. Many times when we receive our income, we start to pay everyone except ourselves. We pay our bills, repay debts, etc. But we forget to pay ourselves, to give ourselves a pat that we work hard for the money. Learn to start paying yourself first from your next paycheck. Yes, we may heard this. "I can't even afford to pay the bills, how can I pay myself first." If this is happening to you, then its probably time that you reduce your expenses. When you start to practice this principle, it will be tough. Because you got to adjust your spending habit. After paying yourself, you left with the rest of the money for your expenses.
This stage is the toughest because it seems that you do not have enough money. You will be so tempted to touch the "Pay yourself account". Have the discipline to resist it. Once you start wto withdraw money from that account, all your effort will gone to waste. Continue to pay yourself first for six months. By the sixth month, you'll adjust your spending habits, you'll feel comfortable with the new habit. The most amazing thing is when you realize that your "pay yourself account" is growing every month. You will begin to feel confident and exudes the air of a millionaire. What to do with the "pay yourself account?" The only usage of the "pay yourself account" is to invest. Invest in stocks, mutual funds, business, real estate, internet business, etc. The money in this account should be working hard for you, to make you more money, so you can put more into this "pay yourself account". My friend, Adam Khoo reveals the way to wealth in detail by business, stocks, mutual funds and internet business. Some people asked, "how much should I pay myself?" Usually 10% if your total income is a good start. If 10% is a challenge for you, start wth 5%. It doesn't matter, the most important thing is you have to start somewhere. I started with 5%. Now I am paying myself 10%. As you go along, you can increase it when you gets comfortable. Start this habit today. Start paying yourself now. The way to wealth is simple, it just takes some discipline. What’s the best way to pay yourself? A better long term investment or an account in invest bank, probably. Saving with a bank account is perhaps best option unless you don’t get an exceptional opportunity to invest in. The process is even simpler now. Whether applying for a loan or managing your account at national city bank, online banking has eased the process. Data encryption and security schemes and recent payment security enhancements have caused significant growth in online banks and the range of their services. Leading banks like pnc bank now not only offer all the banking information online but also provide with easy and secure account management online. First reduce your expense Control your spending to build your riches. With the extra money, you can grow more money.
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