" The reason is that these financial professionals actually do what the masses do, which is pay themselves last. They pay every- one else first. There have been months in my life, when for whatever reason, cash flow was far less than my bills. I still paid my- self first. My accountant and bookkeeper screamed in panic. "They're going to come after you. The IRS is going to put you in jail." "You're going to ruin your credit rating." "They'll cut off the electricity." I still paid myself first. "Why?" you ask. Because that's what the story The Rich- est Man in Babylon was all about. The power of self-disci- pline and the power of internal fortitude. "Guts," in less elegant terms. As my rich dad taught me the first month I worked for him, most people allow the world to push them around. A bill collector calls and you "pay or else." So you pay and not pay yourself. A sales clerk says, "Oh, just put it on your charge card." Your real estate agent tells you to "go ahead-the government allows you a tax de- duction on your home." That is what the book is really about. Having the guts to go against the tide and get rich. You may not be weak, but when it comes to money, many people get wimpy. I am not saying be irresponsible. The reason I don't have high credit card debt, and doodad debt, is because I want to pay myself first. The reason 1 mmTmize my income is because Idon't want to pay it to the government. That is why, for those of you who have watched mevideo The Secrets of the Rich, my income comes from my asset col- umn, through a Nevada corporation. If I work for money, the government takes it. Although I pay my bills last, I am financially astute enough to not get into a tough ftjanrialsto I don't like consumer debt. I actually have liabilities that are higher than 99 percent of the population, but I don't pay for them; other people pay for my liabilities. They'rexaJted tenants. So rule No. 1 in payingyourself first is don't get into debt in the first place. Although I pay my bills last, I set it up to have only small unimportant bills that I will have to pay. Secondly, when I occasionally come up short, I still pay myself first. I let the creditors and even the government scream. I like it when they get tough. Why? Because those guys do me a favor. They inspire me to go out and_create more money. So I pay myself first, invest the money, and let the creditors yell. I generally pay them right away any- way. My wife and I have excellent credit. We just don't cave into the pressure and spend our savings or liquidate stocks to pay for consumer debt. That is not too financially intelligent. So the answer is: 1. Don't get into large debt positions that you have to pay for. Keep your expenses low. Build up assets first. Then, buy the big house or nice car. Being stuck inTHe rat race is not intelligent. 2. When you come up short, let the pressure build and don't dip into your savings or investments.