Personal Finance
Pay Yourself First
Definition
What is Pay Yourself First?
Saving or investing immediately when income arrives before discretionary spending.
Example in practice
How This Looks in Practice
The investor automates a 15% contribution on salary day.
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Related Terms
Personal Finance
Savings
Money set aside rather than spent, often for emergencies or future goals.
Personal FinanceEmergency Fund
Liquid savings reserved for unexpected expenses or income disruption.
Personal FinanceNet Worth
Total assets minus total liabilities.
Retirement InvestingWithdrawal Rate
Annual portfolio withdrawals divided by the portfolio's starting or current value.