The foundational principle that separates wealth builders from everyone else — prioritize your future before anything else.
"Pay Yourself First" is the practice of setting aside money for savings and investments before paying for any other expense — including bills, groceries, or discretionary spending. You treat your own savings goal as the first and most important financial obligation.
This simple shift in mindset has a profound effect: instead of saving whatever is left at the end of the month (often nothing), you guarantee consistent, compounding wealth accumulation month after month.
Automate your savings on payday so the decision is made for you — before lifestyle spending can erode your future wealth.
Start with at least 10–15% of gross income. If that feels impossible right now, start with 1% and increase by 1% every 3 months until you reach your target.
Set up an automatic transfer on payday directly to a dedicated savings or investment account. Remove the temptation and decision-making entirely.
Maximize contributions to 401(k), IRA, or other tax-advantaged vehicles first. These accounts accelerate growth through tax deferral or tax-free growth.
Consider two people: Sarah starts saving $400/month at age 25 and stops at 35. Mike starts saving $400/month at 35 and continues to 65. Assuming 7% annual return:
The earlier you start paying yourself first, the more powerfully compound interest amplifies every dollar you save.
Prioritize savings before all other expenses to guarantee consistent wealth building.
Understand the precise components that combine to create lasting financial wealth.
Visualize how responsibilities and wealth interact throughout your financial life.
Build your financial plan on a solid foundation — just like constructing a house.
A quick mental shortcut to understand how fast your money doubles at any rate of return.
Navigate the four stages of financial life with targeted, stage-appropriate strategies.
Our advisors will show you exactly how to apply these principles to your unique financial situation — at no cost.