Business
Today we start a series called “5 Financial Mistakes You’re Making Now” where we tackle the actions people take that will hurt their finances the most. Mistake #1: Not Paying Yourself FirstIs saving money the first thing you do with a paycheck or the last? Having a “war chest” is important - saved money that can be accessed for emergencies, fun things, or whatever you want to do that keeps you from putting money on a credit card. The war chest can be in the form of a regular savings account, investments, or a 401k - it doesn’t matter as long as the money is easily accessible to you. But if you spend the money before it goes into the war chest, it can’t help you. For example, let’s say you spend $10 on buying lunch every day at work. That’s $50 a week, or $2500 a year with two weeks of vacation.Paying yourself first can be in the form of making your own lunch a couple times a week and putting that money into an envelope, and at the end of the month, that money goes into an account. There are always opportunities to find money you can save. Pay yourself first with the money you make and achieve your financial goals!If you’d like to create a financial plan, free of charge, please contact me at mike.wegener@raymondjames.com.