Payday Routine: Do These 4 Things After Getting Paid!

Payday is a great feeling, isn’t it? That moment your account lights up with fresh funds, it’s tempting to celebrate by treating yourself. Why do 78% of us Americans live paycheck to paycheck? Before you start spending, let’s talk about something that will have a much bigger impact on your future: building a solid payday routine.
Why is this important? Because what you do immediately after getting paid sets the tone for your financial success. By adopting a simple, intentional routine, you can take control of your money and ensure it’s working for you—not the other way around. Wouldn’t it be nice to have your money work for you instead of you working for the little green man?

Here are four things to do every payday to build financial discipline and confidence:

1. Pay Yourself First

The first thing you should do when you get paid is allocate money toward your savings or investments. This concept, often referred to as "paying yourself first," ensures that your financial goals take priority over everything else.

Think about it—if you wait until after paying bills and covering discretionary expenses to save, there’s often nothing left. Instead, decide on a fixed percentage of your paycheck to save (10%, 20%, or whatever you can manage) and automate the process. Transfer this amount into a high-yield savings account, an investment account, or—if you’re on the path to Infinite Banking—your whole life insurance policy designed for cash value growth.

Paying yourself first isn’t just about saving money—it’s about creating a habit that puts your future self first.

2. Review and Update Your Budget

Payday is the perfect time to revisit your budget and make sure everything is on track. Let’s look for financial leakage and check to make sure we are on track to reach our financial goals. Start by listing your income and upcoming expenses. Are there any unexpected bills this month? Did you spend more on fun than you had budgeted? Or do you have surplus income that can be redirected toward savings, debt repayment, or other goals?

Your budget is a living document, and payday is the moment to check in with it. This helps you avoid surprises and ensures every dollar has a purpose. If you’ve already been following a budget, this is also a great time to celebrate the progress you’re making!

3. Handle Debt Strategically

If you’re carrying any debt, part of your payday routine should include a strategic plan to pay it down. Whether it’s high-interest credit card debt, student loans, or a car payment, your goal should be to free yourself from the financial burden of interest payments as quickly as possible. Remember we finance everything we buy; we either pay interest to someone else or we earn interest.

Start by focusing on debts with the highest interest rates while maintaining minimum payments on others. If you’re practicing the Infinite Banking Concept, you can use your cash value to pay off debt systematically, freeing up cash flow to reinvest in your private banking system. The key here is consistency—make debt repayment a regular part of your payday plan.

4. Start Your Own Private Banking System

Here’s where the real magic happens. After paying yourself, budgeting, and tackling debt, it’s time to start building long-term financial security by funding a specially designed whole life insurance policy.

This isn’t just any life insurance policy—it’s one that’s structured for maximum cash value growth, offered by a mutual company that pays dividends. Think of it as your own private banking system. What would you call your privatized banking system? Give it a name :) Each time you fund your policy, you’re building a reservoir of money that you can access for major purchases, debt repayment, or investments—all while your cash value continues to grow uninterrupted, thanks to compounding interest.

On payday, set aside a portion of your income to fund this policy. Over time, this system will become the foundation of your financial strategy, giving you control, liquidity, and a way to recycle your money for maximum efficiency.

Bonus Tip: Establish a Money Meeting

After getting paid, my spouse and I set a time to meet early the following week. We established a "money meeting" to ensure we were on the same page. This simple practice transformed our money mindset and, over time, helped us grow our wealth. What used to be a taboo and painful subject—especially when we were drowning in nearly $1 million of bad debt—became safe and even fun. Money became a game for us.

By creating a space to discuss goals, celebrate progress, and plan for the future, you’ll develop comfort and alignment around your finances.

The Power of a Payday Routine

When you implement a consistent payday routine, you take control of your financial story. Instead of money slipping through your fingers, you’re giving every dollar a job and ensuring it’s moving you closer to your goals. The best part? This routine doesn’t take much time, but it delivers massive long-term results.

Payday isn’t just about what you earn—it’s about what you keep, grow, and use intentionally. By paying yourself first, sticking to your budget, tackling debt, and building your own banking system, you’re creating habits that will lead to lasting financial freedom.

So, next time your account lights up on payday, don’t just celebrate. Take action! Start with these four steps (and that money meeting) and watch how your financial confidence grows. You’ve got this!

Want to dive deeper into this topic? Check out our podcast, Payday Routine: Do These 4 Things After Getting Paid: Apple / YouTube