How much money do you think you’ll earn in your lifetime?

The average person on an average salary is likely to earn hundreds of thousands of dollars.  

And yet the incredible thing is that many people are flat broke by retirement time.  Some people even end up in debt after earning all that money in their lifetime. 

You’ve got to save

Now I can hear you right now….

“I’ll save money just as soon as I’ve got money to save.”

Look, the reason people don’t have any money is because they don’t save any money.  It’s a vicious circle and one that can only be broken by acquiring the savings habit immediately. 

How “The 10% Rule” Can Make You Wealthy

How much should you save, and how often?

A commonly-quoted figure is 10%.   That’s 10% of your net income.  So if you take home $600 a month from your job, then put $60 in the bank.  Every month. 

You think you can’t afford 10%?

Look, suppose your company ran into tough times and announced everyone had to take a 10% pay cut, do you think you’d survive? 

Of course you would!

So why not give yourself a 10% pay cut now?

The best way to arrange saving is to set up an automatic debit from your bank account into your savings account, and make sure it’s the very first bill you pay every month.  Then you won’t conveniently start to “forget”.

What if you’re self-employed and your monthly income varies?  Well you just have to exercise more discipline.  But whatever you earn in the month, try saving 10% of it. 

And when you earn a special bonus, or you come into some money, don’t blow it all – save 10% into your “nest egg” account.

And if you really can’t afford 10% a month?   Well save whatever you can.  Try 5%. 

Just remember…

Multiply any number by zero, and you’ll always get zero.