Tip: If you own a home, have attended college, or have credit card debt it’s a safe bet that your net worth is going to be negative. No worries. It’s important to know where you’re starting from so you can chart a path to wealth. CREATE A SPENDING PLAN Writing things down is good. I’m sure you have a general idea of how much money you’re expecting from jobs, financial aid, etc., but unless you have a written plan on how to spend it, the money will pass through your account ,and you’ll have no idea what happened to it. Have you ever taken $20 out of the ATM and the next day you have no idea how you spent it? That’s what will happen to your income unless you create a plan to spend it and cover all the things you need to spend money on. Paying yourself first is an essential key to creating wealth. Your spending plan should list income at the top. The first spending category should be Emergency Fund and the second category should be Retirement Fund. Your expenses for housing, transportation, food, and utility bills should be adjusted to make sure that you can always pay yourself first. Tip: Making the plan before you actually have the money is the key to putting the spending plan into action.