Rule #1 Spend less than you make

Only pay cash/debit for anything you buy

If you can’t pay for all of it with cash, then you can’t afford it

Track your spending. Review it each month. How much do you spend on entertainment, utilities, shopping, gas, groceries.

“Life” expenses (variable expenses) such as groceries, shopping, eating out, entertainment, gas, shouldn’t exceed 25% of your income monthly


Your mortgage/rent payment should not be more than 25% of your monthly take home pay (or one weeks wages)