ECONOMICS
BUDGETING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Put Your Finances First
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Pay Yourself First
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Pay Your Fund
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Period Year Finances
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Detailed explanation-1: -Pay yourself first is a popular phrase in personal finance and retirement-planning literature. It is also an investor mentality that means automatically routing a specified savings contribution from each paycheck at the time it is received.
Detailed explanation-2: -When you pay yourself first, you pay yourself (usually via automatic savings) before you do any other spending. In other words, you are prioritizing your long-term financial well-being.
Detailed explanation-3: -Pay yourself first (PYF) means to redirect a portion of the income you receive to retirement savings, emergency savings, or some other type of savings as soon as you receive it, and before you pay any other bills. In other words, the first bill you pay each month should be to yourself.
Detailed explanation-4: -The rule states that you should spend up to 50% of your after-tax income on needs and obligations that you must-have or must-do.