Pay Yourself First
Are you paying yourself well? Or at all…? You need to pay yourself first!
If not, now’s the time to start. And if you’re thinking… but with what money? I got you.
Here are three 3 steps I take to pay myself first:
1️⃣ Start paying yourself on a regular basis, even if it’s a nominal amount (even $1!). Schedule a reminder to pay yourself weekly or bi-weekly and stick to it! Just choose an amount that you know you can consistently stick to, no matter what.
2️⃣ Every time you pay yourself, increase that amount. Again, even if it’s only $1. Increase it! And make sure it’s an amount you can stick to.
3️⃣ When you get money, pay yourself first. Every time a client pays you (or at least weekly, if you’re getting money every day), take 10% off the top and put it into a savings account. Then, at the end of the month, “bonus” yourself out this money (this should NOT be used to pay your regular payment mentioned above!).
But wait… how is paying myself $1 really going to make a difference?
Because, you’re starting to create a habit. Steps #1 and #2 get you in the habit of paying yourself (and by constantly increasing your amount, you’ll gamify it a bit to where you’ll want to keep increasing it by more and more… trust me, it works!).
Step #3 is about prioritizing spending your money on you and not other business expenses (which you may or may not even need). Instead of looking at your bank account and deciding how much you can pay yourself by what’s in there on that day, take the money for yourself first and then decide how much you can spend on the other expenses in your business with what’s left over.
Your business is the real deal, and you deserve to be paid for the work you do. Treat yourself right, friend.
Want more on this topic? Listen to my podcast episode on paying yourself first.