Question

quiz
question 4 of 6
what does \pay yourself first\ mean?
select a response.
pay down debt before doing any spending
put money in your savings account before you pay other expenses
split your money according to how much you want to spend on each bill or expense
spend your money on your wants before you spend on your needs

Explanation:

The concept "pay yourself first" in personal finance means prioritizing saving for your future (like putting money into savings) before paying other expenses. Let's analyze each option:

• "Pay down debt before doing any spending" is about debt repayment, not the core of "pay yourself first" (which is about saving).
• "Put money in your savings account before you pay other expenses" matches the definition of paying yourself (saving for your own financial goals) first.
• "Split your money according to how much you want to spend on each bill or expense" is about budgeting allocation, not saving first.
• "Spend your money on your wants before you spend on your needs" goes against good financial practice and is not what "pay yourself first" means.

Answer:

B. Put money in your savings account before you pay other expenses