Why Paying Yourself First Is Key To Getting Rich

By Sue Hefren | Uncategorized

Jun 15

By Robert Kiyosaki

They say that a picture is worth a thousand words. Study the diagrams above and see if you can pick up some of the distinctions between the two stories:

If you’re financially intelligent, you can see important distinctions in the diagrams above.

The Power of Cash Flow

 

pay-self-first

The first diagram depicts the actions of those who pay themselves first. Each month they allocate money to their asset column before they pay their monthly expenses.

pay-other-first

The second diagram depicts the actions of those who pay everyone else before they pay themselves. Each month they allocate money to their expenses column and then invest with whatever is left overówhich is usually nothing.

If you understand the power of cash flow, you will understand what is wrong with the second diagram. It’s the reason why 90 percent of people work hard all their lives and need government support like Social Security when they are no longer able to work. The reason is they pay themselves last.

About the Author

Sue loves people and is passionate about seeing them flourish in life. She is a skilled communicator, coach and mentor who has been delivering personal and professional breakthroughs for individuals and businesses over the past 15 years.