MANILA, Philippines - Are you guilty of paying other people first before paying yourself?
Upon receiving your salary (less taxes!), do you allot a portion of it to your savings first? Or do you pay your bills, give money to your relatives, and sustain the livelihood of one barangay in your province instead?
If you're doing the latter, it's time for you to stop doing it right now. Remember the real nerve-wracking, touching, and straight-to-the-point reasons why you should pay yourself first.
1. You worked hard and labored desperately just to be able to receive your income.
You earned this money, right?
You sacrificed good posture and endured eye strain just to finish your report to your boss.
You spent 7 hours a day each day to answer calls and give the best customer service to your clients.
You didn't even log in on Facebook because your supervisor was breathing down your neck the whole time you were finishing a Powerpoint presentation!
This is not the end of it, you know.
Remember all the relaxation you got when you were stuck in traffic? How about the reprimand that your loving boss gave you the other day? Or that super boring meeting where nothing was really accomplished in the end?
A peso saved for yourself first is a minute that you don't have to work anymore. You want to stop working as much as possible, right? Start paying yourself first.
2. You can never take care of the important people in your life if you don't have any savings.
Paying yourself first isn't greedy - it's actually the opposite. By doing this, you ensure that you're building a savings fund for you and your loved ones.
If your dad gets a stroke, you don't want to feel the frustration of looking for a cheaper hospital because the one near you is expensive.
If your little brother gets into an accident, you don't want to feel frustrated because you don't have enough savings to send him to an emergency room.
If your mom who lives abroad suddenly gets diagnosed with a terminal illness, you don't want to drown yourself in debt just because you don't have enough money to come to her.
Save because the people in your life matter to you.
3. Your future is valuable. Your bills are replaceable.
When you pay yourself first, you tell yourself that your life and your future is your priority.
Don't pay your bills first – they didn't work for the money, you did.
Don't pay the mall owners and the restaurants first – if you suddenly lost your job, you can't ask them to give you money.
Don't pay your long-lost relatives first – your fifth cousin from your aunt can't help you pay for your retirement when you're already old and jobless.
4. Your peace of mind is better than a piece of plastic.
Emergencies will always come and rear their ugly heads at you. It may be a medical illness, an unpleasant accident or an unexpected event that may mean the difference between life and death for you.
Your suddenly losing your job is an emergency, as it's your only source of income - you can temporarily touch your emergency fund to help you pay for your priority expenses while you're still looking for a job.
On the other hand, Apple “suddenly” releasing the iPhone 5c is not an emergency. If you really want it, you should have saved for it in the first place, right?
Your savings are there to make you sleep better at night.
Your savings will always be there for you, provided that you don't spend them recklessly.
They're there to help you when things get tough and you encounter emergencies.
They're there to help you when your “friends” abandon you just because you can't treat them to lunch anymore.
They're there to help you start your own investment fund.
In the present, pay yourself first. It's a guarantee that your future self will thank you for it.
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