Which of the following is an example of "paying yourself first":?

a. Putting leftover money into savings first.

b. Spending your first dollars on savings or investments.

c. Arranging for your employer to pay you before holding out deductions.

d. Making all required loan payments first.

The concept of "paying yourself first" is to put a designated amount of money into some kind of savings or investment program prior to paying anything else.

In the examples you provided, "b" is probably the best answer.

I would say B. No matter how much debt you have ALWAYS (especially in this day and age) find a way to save some money any money. You'll thank yourself later when you're not dependent on someone else later on in life.

Definitely B. Paying yourself first is the concept of putting money into savings BEFORE you commit to consuming it. If you earn $50,000/yr, you save $5,000 and act as if you only earned $45,000 when you consider your consumption for that year. It is an example of "framing" or "mental accounting" -- behavioral finance ideas that can be used to get us to do what we often don't do enough of, save.

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