Tweet

Stop Living on the Breadcrumbs Leftover After Expenses

Guest post by: Jeanna Gabellini

Article Overview: I used to accept the breadcrumbs. I thought that everyone else should get the money before I did if I were being a responsible business owner. Now I know better. Paying yourself last is just a practice (sometimes hard to break) that will never grow your business.

Stop Living on the Breadcrumbs Leftover After Expenses

I’m very clear that the way I pay myself each month would not be endorsed by your bookkeeper or accountant. It’s just unorthodox (I’ll say more about this later). But then again, the way most solopreneurs pay themselves is by seeing what is leftover after paying all of their expenses. What happens if there is nothing leftover?

Stress. Defeat. Struggle. Lack.

I’ll confess. I used to accept the breadcrumbs, too. I thought that everyone else should get the money before I did if I were being a responsible business owner. Now I know better. Paying yourself last is just a practice (sometimes hard to break) that will never grow your business.

If your intent is to see how much is leftover after expenses, there is no power in that. You get what you get. Some weeks and months may be fine, others…not so much. The best thing you can do to increase your income is to begin paying yourself off the top. You may feel a bit squeamish at first, but pick an amount that feels safe and decide that this month you are cutting yourself a check first, no matter what.

Once you do it a couple of times, you’ll notice that your income always covers that amount in addition to your expenses. Why? Because you’ve made a powerful decision that you are of value. Plus, isn’t it rewarding to see money coming into your account consistently?

Now, it’s time to bump it up. How much do you need to increase your paycheck to feel more ease and freedom with money?

Michael Beckwith changed my whole view on paying myself in his audio True Abundance. He said pay yourself and put money in your bank account. If you see money in there it feels abundant and therefore you’ll feel more secure about money. The payoff is feeling secure, successful and raising your vibration to attract more. You’re tithing to yourself.

That resonated with me in way that I decided to take immediate action. I began socking more money than ever into my savings each month. Not my retirement accounts, just a plain old savings account at my credit union. In just a few short months, I had saved more money than I ever had before! I was paying myself before my expenses, even when I knew I might not make all the payments on my expenses. But guess what? There was always enough money to do it all!

You are changing your wealth setpoint by paying yourself first. Now, I personally don’t cut myself a check every month in the same amount. I just pull out whatever amount that I’m inspired to.

Here’s another key point in paying yourself...give yourself enough to start taking action on the things you’ve been craving but have felt you don’t have enough money to pursue. I’m hot and heavy into finishing the construction on my house. So, I’ll see how much the new light fixture or barstools will be and decide that I’m going to pay myself enough to buy them. I have a list of all the items and services we need to complete our house in a very strategic order. I follow my plan.

I’ll do the same with things I want to invest in for my business, like a website makeover or hiring a marketing consultant. If you wait to make more money before you shift your expectations, you’ll be waiting a long time. Refer back to your business plan for the year so that you’re not randomly spending money.

Now, I’m not promoting spending ALL your money on stuff you want all at once. Balance is good. And, I AWLAYS have an intention that I will pay myself and everyone else in my accounts payable. I’m very clear that there is no other option. And so I prove myself right every time.

When you decide HOW you will spend your money, you’ll increase your overall vibe about profits. Start small until you can trust the process and you see positive evidence that you have more than enough money for all of it.

Then keep stretching your expectations about how much you want to see in your personal bank account.

No more breadcrumbs and leftovers. You get first crack and you deserve it.

Related Articles
  Debt Reduction Tips Every Joe Needs
  When Your Parents Move in with You
  Sales Training – Salespeople Sell More With Clean Refrigerators
  Live Purposefully To Discover Your True North.
  How Not Having a Marketing Funnel Hurts Your Practice Without You Knowing It
  StartUp Costs
  What is the means test, and how does it apply to me?
  Held Back Sales and Marketing
  Why everyone should be taking advantage of Home based business tax incentives
  Strong website structure – the basis of successful SEO
  Budgeting Money When You Own A Business
  Watch Your Business Expenses (Self-Employed)
  Take It To The Bank
  Breakeven Analysis
  Every Little Bit of Savings Adds Up
  Living on a Budget Still Possible In Today's Tough Economy
  How much Home Office Tax Dedcution can I Take?
  Where the World Sees Junk, Africa Recycles
  Finance Start-Up
  Developing a Measure of Security in Your Financial Life

Article Tags: abundance, attraction, breadcrumbs, business, Defeat, expenses, freedom, Jeanna Gabellini, Lack, money, reward, secure, Stress, Struggle, value, wealth



Related Forum Posts
Re: What is your biggest challenge? Today? - [quote="GT Bulmer":10b1rb6o]sounds like keeping one foot on the dock and one in the boat, doesn't it?) I've had suggestions of interest from other high profile potential clients but I have chosen not to pursue them at this time.[/quote:10b1rb6o] Hi GT, Who knows, perhaps you'll need to take that leap of faith and "burn your bridges" (of escape/going back) like Dale Carnegie suggests in "How to Stop Worrying and Start Living" to get to the next level and reach your income goal. Complacency and comfort can be death.
Betting on the law of averages - Dale Carnegie says "As the years went by, I gradually discovered that ninety-nine per cent of the things I worried about never happened... The most famous insurance company on earth-Lloyd's of London-has made countless millions of dollars out of the tendency of everybody to worry about things that rarely happen. Lloyd's of London bets people that the disasters they are worrying about will never occur. However, they don't call it betting. They call it insurance. But it is really betting based on the law of averages...don't happen nearly so often as people imagine" ("How to Stop Worrying and Start Living" 67 & 68). In the past, I think I spent an additional $130 for "3 Year Return to Depot Service and Technical Support" when I bought my Dell laptop and $30 for 2 years of replacement protection for my glass desk. While I've had to call Dell for technical support for my laptop on a few occasions, I've yet to replace any glass panel on my desk.
Re: How do you budget your life? - Here is my financial management categories for today: 15% Long Term Savings; 10% Home Expenses; 45% Business and Marketing charges; 10% Friends (Meeting); 20$ Scientific and Law Books. But this will change when it is August or September. Orxan
Decide your market first - Stop for a second and decide exactly who it is that you want to sell your product to. Once you've done this you'll have a far better idea of where to find them and what it is that they're interested in Cheers
Re: What Do you Prefer More - Time or Money - Living the moment. I am living the moment since 4 years ago, after the docs found cancer. They removed it, of course, and since then I just do what i want. Jumping from an airplane was one thing, that was great. Now I want to fly to the moon. I need money for that.


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

What To Do With a Troublemaker?

Environment and productivity at the office

How to choose your executive coach -1

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.