Pay yourself first

We have been inspired by David Chilton’s financial planning concepts outlined in his book The Wealthy Barber. The book offers basic yet sound advice to help you establish and then attain your financial goals.

One of the commonsense strategies The Wealthy Barber recommends, and so do we, is to pay yourself first. Paying yourself first means that when you get your paycheque, you first put away the money you want to save for your goals. It’s like putting saving on top of your spending list.

Benefits of paying yourself first
	enjoy the magic of compound interest Compounding means that you earn interest on your interest. It makes a huge difference over time, even when interest rates are low. Rather than you doing all the work saving money, the money you earn is working for you too.
	regain your peace of mind Knowing that your savings are growing automatically gives you peace of mind. And whether you're saving for a down payment, a trip or whatever, you’ll likely enjoy seeing your savings grow.
	manage your money better By having your savings made automatically, you’ll manage your money better. The money you pay yourself first won’t be missed. If you stick to the pay-yourself-first plan, you’ll end up with money you didn’t know you had in the first place.