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Updated almost 14 years ago on . Most recent reply

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George P.
  • Real Estate Investor
  • Baltimore, MD
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Paying self first ?

George P.
  • Real Estate Investor
  • Baltimore, MD
Posted

Maybe I shouldn't be taking it literally, cause I don't understand the concept.
If I get a paycheck - I get paid right after the government , state, county, health insurance company get paid. Even a freaking garage management company gets paid before I do. I'd like all of them to get in line after me, but ?
When received a rent check from a tenant - I pay PITI and HOA (to avoid delinquency), other expenses and only then put my hands on the rest.
Should I get paid first, I shall jeopardize getting behind on all necessary expenses, don't I ? Isn't it a promotion of irresponsibility?

What is this thing all about?

Most Popular Reply

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Bill Gulley#3 Guru, Book, & Course Reviews Contributor
  • Investor, Entrepreneur, Educator
  • Springfield, MO
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Bill Gulley#3 Guru, Book, & Course Reviews Contributor
  • Investor, Entrepreneur, Educator
  • Springfield, MO
Replied

George, I'm not sure what you're asking, but receiving funds and setting funds aside to pay your obligations is only prudent and good money management. If you are setting funds aside for future expenses, like an annual payment, that money should be working for you but not at much risk as it is really spent, but in your care. Keepig your money working is just good cash management, putting it at risk to be lost or spent can get you in trouble.

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