7 Rules for Saving Money (that one day might save you)
1. 50/30/20 Budget Rule
Allocate your income into:
• 50% Needs (Food, Housing, Insurance, Utilities, Transportation)
• 30% Wants (Travel, Fashion, Entertainment)
• 20% Savings (Emergency fund, Debt, Investments, Retirement)
2. 1% Rule for Impulse Buys
If an item costs over 1% of your annual gross income, wait 3 days.
Often, you’ll realize you don’t really want/need it.
3. The Rule of 72
Divide 72 by your annual return rate to estimate how long it takes to double your money.
4. 401(k) Match Rule
Max out your employer match—it’s free money toward retirement.
5. 3X Emergency Fund Rule
Keep 3–6 months of income saved.
“When a rainy day comes, you’ll weather the storm.”
6. The Rule of Automation
Automate your saving/investing to build wealth effortlessly.
(Book rec: I Will Teach You To Be Rich by Ramit Sethi)
7. Item In, Item Out Rule
Buy one thing, donate or toss one thing.
Minimalism = balance.
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