Pay Yourself First

John looked at all the bills he had to pay. He looked at his bank statement. His savings account balance was pitiful. He groaned, "I'll never be able to buy a house. I can hardly pay my bills every month."

"You have to pay yourself first," John's friend Cindy told him.

"What does that mean?" John asked.

"It means you have to have a savings plan. If you want to buy a house, you have to save for a down payment. A savings plan should be part of your monthly budget," Cindy said.

"My budget barely pays my bills," John said. "I don't know how I'd ever be able to save money, too."

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