Okay Grasshoppers, the subject is "basic money management". I know I can do this!
Get a mirror. Look into it. Who do you see? If you don't seen anyone you are either a vampire or a witch. Assuming that isn't you, you should see yourself. That good looking, beguiling, beautiful creature is you. Not bad, huh?
Now while looking into the mirror, ask yourself "who is the most important person in the world"? If you hesitate, you are in deep sh--. It is YOU (as my mother would say "it is you, you dumb sh--)! Yes, there are lots of very, very important people in your life but you are most important to you. You manage yourself everyday. Do what is best for you. "You, You, You"! I think there is a song that starts that way.
Now, when you earn money, the first thing you should do is pay yourself! Take the cash from each paycheck, go down to a bank of choice and deposit money that is payment to yourself for all the hardwork, sweat, and sacrifice. You owe it to yourself. Keep the account separate and don't use that money for anything else. That is your money. You are rewarding yourself. Why do you pay yourself? Who else is going to take care of you? Remember who is the most important person in your life. You owe yourself some money from every paycheck.
Keeping this very simple, it is very important that you make a special effort to physically place the money you are paying yourself someplace special. Make it a bank, a savings & loan or a credit union. You can deposit cash or write a check. The money stays there and grows. You don't use it for self-gratification. That new I-Pod does not come from this money.
Keep doing that routine. Keep investing in yourself. Remember the mirror. Who did you see in the mirror? You saw the most important person in the world...You!
The lesson Grasshoppers is that you control your own destiny. Once you reach a point where you have accumulated 3-6 months worth of "pay", the focus can start shifting to longer term goals. Never stop paying yourself. Love yourself.
Love,
Dad