View this post on Instagram

A post shared by Andrew Lewis (@the.real.andrew.lewis)

As a real estate agent, you're no stranger to the rollercoaster ride of commissions. One month, you might close multiple deals and feel like you're swimming in cash, while the next month could be a dry spell with hardly any income coming in. It's easy to fall into the trap of splurging when the checks come rolling in, but this short-sighted approach can lead to financial instability in the long run.

Picture this: you just closed a big deal, and the commission check is burning a hole in your pocket. You could easily blow it all on fancy dinners, designer clothes, or that dream vacation you've been eyeing. But before you succumb to the temptation, consider this: what happens when the next month is slower, and the bills keep piling up?

Financial experts agree: it's crucial to pay yourself first. Instead of spending every last dime of your commission, set aside a portion of it for yourself. Treat yourself like a business, and allocate a fixed amount each month to cover your living expenses. This ensures that you have a steady income stream, regardless of how much you make in commissions.

Think of it as giving yourself a paycheck, just like you would receive from a traditional W2 job. By paying yourself consistently, you'll not only cover your basic needs but also build up a safety net for those leaner months. Whether it's setting aside funds for emergencies, investing in your retirement, or simply saving for a rainy day, having a financial cushion brings peace of mind and stability to your life.

But paying yourself isn't just about surviving; it's also about thriving. When you know that your basic needs are covered, you can focus on growing your business and achieving your long-term goals. Whether it's expanding your client base, investing in further education and training, or upgrading your marketing efforts, having a stable financial foundation gives you the freedom to pursue opportunities with confidence.

So, how do you start paying yourself like a normal W2 job? It's simple: create a budget and stick to it. Determine how much you need to cover your monthly expenses, including housing, food, transportation, and other essentials. Then, set up a separate account where you'll deposit your "paycheck" each month. Treat this account as off-limits for discretionary spending, and only dip into it for necessary expenses.

Of course, it's important to strike a balance between enjoying the fruits of your labor and planning for the future. There's nothing wrong with treating yourself to the occasional indulgence or rewarding yourself for a job well done. But by prioritizing financial stability and paying yourself first, you'll set yourself up for long-term success in the unpredictable world of real estate.

In conclusion, agents, don't fall into the trap of living paycheck to paycheck on your commissions. Instead, pay yourself first, create a budget, and set yourself up for financial stability. By treating yourself like a business and prioritizing your long-term financial health, you'll not only weather the ups and downs of the real estate market but thrive in the process.