Money management is a skill that comes in handy regularly, especially when we receive our salary and can do whatever we want with it. But what exactly should we do to ensure that this amount, regardless of its amount, starts working for us?

That’s where a structured payday routine comes in. With a few simple steps, you can take control of your finances - no matter how big (or small!) your paycheck is. Here’s how to make the most of every payday.

Why is this so important? Because even by creating small savings, we can build a more comfortable life in the long run. A fundamental rule of finance is: pay yourself first. The point is that each month we should ensure we're paying ourselves from the future. Without savings, we constantly walk a fine line between living paycheck to paycheck and even going into debt. We need the money we save to build financial comfort and a better life.

Let's monitor our budget. Most of our financial failures often stem from a lack of awareness of our income and expenses, meaning we don't keep statistics, summaries, or calculate our budget.

It's worth keeping a spending calendar for at least two weeks or a month. See where we're spending money - and this isn't about beating ourselves up for something we didn't need, but simply to see what we can give up with a clear conscience to secure a slightly better future. Remember, not all expenses bring us joy. Sometimes it's a matter of habit, sometimes it's pressure from loved ones or friends, so it's worth being aware of this.

First and foremost, this could be investing what you've just set aside - the amount you've set aside as savings. Not only should you build a more robust financial cushion and keep it in retail bonds, but you can also invest in ETFs, precious metals, or other assets, if you're willing and have the necessary knowledge. The idea is to build a long-term investment portfolio in step two. Probably it sounds crazy to do this right after receiving your paycheck, instead of focusing on bills first, but it's crucial because you can probably survive on the rest (sometimes it's a matter of giving up coffee out or buying another blouse or some small things), and the money is already starting to work for our future in the long term, which is incredibly satisfying.

Another point to consider in the context of investing, aside from things typically related to the capital market, is investing in yourself. For example, in your own business, or in some important professional training that will lead to higher earnings. Unfortunately, very often, when you don't do this initially, other things become much more important, and suddenly it turns out that it's not enough, and you have to postpone your plans for the following months. Consequently, you won't have higher earnings unless you invest in yourself, your business, your knowledge, and the skills that can lead to higher earnings.

Yes, only in this step is there room to pay rent, mortgage payments, all kinds of bills, prepare a budget for food, transportation, various things we need for a specific month, like specific clothes, etc. Why only now? For the very reasons mentioned earlier. Taking care of your future self isn't pretentious; it's a necessity, and even if you only have 50 or 100 dollars at your disposal, it's worth starting this habit. Later, as you earn more, the habits will stick, and you'll gradually build your financial comfort.

However, what needs to be paid is non-negotiable, so as soon as you've saved up even a nominal amount, you need to manage your bills, meaning taking care of your most important needs. If your current expenses are so high that they actually mean you can't make ends meet, consider whether there's room for negotiation. Talk to your bank if you feel the costs are too overwhelming, and talk to your energy and subscription providers, such as phone and internet. For most people, budgeting for food is also a great way to optimize costs. Firstly, quality food is often very expensive. Secondly, when we're short on time or don't have much in the fridge, it's easy to fall into the trap of constantly ordering food, which results in significant expenses.

Sometimes we all crave something, but remember that it should be something we enjoy, not something we simply have to do because we don't have anything in the fridge and it's a necessity.

For example, a new bike. Let's say we were planning to buy it this summer anyway. We were saving for it, so this is the step in the post-salary routine where we can see how much we've saved, whether it's a good time to buy that new bike or maybe wait another month or two. There might also be other planned expenses here like travel.

So if you always wanted to go to Paris in summer or spend a long weekend on a yacht, this is the moment when you check whether you already have enough savings to make that reservation or whether it's still worth waiting a little longer. This could be another planned expense, such as a birthday present, because after all, our loved ones also have birthdays at a specific time, and we can plan for that well in advance.

And finally, it's time for step five, which is literally everything else. In step five, you already have so much freedom because, firstly, you've already made savings and investments, and money has started working for you. We've already paid our bills, all our rent, and all our food expenses are already budgeted. After step four, in which we also considered whether we have any additional, planned expenses that we want to accomplish, we now have room to do what we want with our money.

Firstly, you can spend on pleasures - meaning if we feel like spending on something that brings us joy, pleasure, something we dream about, something that's perhaps more spontaneous, this is the time. We can also spend on additional development or additional savings and investments. In this step, we spend on whatever we want, because we've already taken care of everything else – not only for the present, but also for our future. Test the post-payday routine according to your own abilities, at your own pace – it's worth seeing how it works for you, especially if you struggle with managing your money.

When you make a habit of checking in with your money on payday, you turn a routine moment into a powerful reset button for your financial success.