Pay Yourself First

💰 Pay Yourself First

A 4,000-year-old trick your paycheck already knows how to use.

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💰 The Move

The Oldest Money Advice That Still Works

In 1926, a pamphlet called The Richest Man in Babylon told the story of a man who got rich with one rule: “a part of all I earn is mine to keep.” He paid himself — his own savings — before paying anyone else. Nearly a hundred years later, it's still the single most effective piece of money advice anyone gives.

🔁 Researchers Brigitte Madrian and Dennis Shea found that simply switching 401(k) enrollment from opt-in to opt-out — with no change to the actual benefit — made participation jump from around 40% to over 90%.

Nothing about the math changed. Only the default did. Removing the decision removed the excuse.

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💰 Build Your Own Default

  1. Automate it before you see it. Set a transfer for the day after payday, not “whenever there's extra.”
  2. Start absurdly small if you have to. 1% is still a default working in your favor. You can raise it later.
  3. Name the account something you won't touch. “Emergency Fund” gets left alone more often than “Savings.”
  4. Never manually opt in twice. If you have to decide every month, you're not using the trick — you're relying on willpower instead.
👉 Try This Today

The richest man in Babylon didn't have a 401(k). He just never gave himself the chance to skip it. 💰