Myles of Investments

Read about my successes and failures. Learn from my experiences and gain insight without losing any cash!!!

Lesson: Catching a Falling Knife
Lesson: Currency Exchange
Lesson: Mutual Fund
Lesson: Paid to Wait
Lesson: Pricing in a Downturn

This is where you’ll find find my Blog. I will comment on the latest news relating to investing, real estate, and the financial markets.

Pay Yourself First

One of the most important, yet still relatively unknown, concepts in achieving wealth, is the principle of paying yourself first. This means that you take a budgeted amount of money out of your paycheck immediately after you receive it, or preferably through an automatic withdrawl, and use it for the purpose of investment. This doesn’t mean pay yourself first and treat yourself to a new pair of shoes or a round of golf!

Why pay yourself first? Because usually people spend all the money they make, and often even a little more. If you are your first bill, you always have money to pay yourself first, and when the bills are coming due, it is much easier to go without luxuries rather than have the electricity cut off!

Pay yourself first, and take the money to build your investments and wealth. Experts have been recommending 10% for quite some time, but I would recommend 15% or more. For many of you, this may seem as though you’ll have to live too frugally, but the reality is, you wont be able to work forever, so if you don’t save now, you’ll be living even more frugally in the future. And, contrary to popular belief the world’s richest people didn’t make their fortunes spending their money impressing others, they used their money to make more money!

You should consider your saved dollars the best employees you will ever have, if they are properly invested they will work 24 hours a day 7 days a week and never ask for a raise! They will literally make you money in your sleep, and the key to wealth is that you don’t need to physically work to earn money. So pay yourself first and let money do the working for you!