# 4 money rules

I came across some practical money rules on the [Mel Robbins podcast](https://www.youtube.com/watch?v=pQjlJud3Tlw) that are worth keeping front of mind.


**Know where your money goes.** Track and budget. You can't manage what you don't measure.

**Split your money into four buckets:**

*   Fixed costs (40–60%) — rent, bills, essentials
    
*   Investments (10–20%) — long-term wealth building
    
*   Savings (10–20%) — emergency fund, future goals
    
*   Guilt-free spending (10–20%) — live a little
    
**Save early, stay consistent**  and let time do the heavy lifting.

> Compound interest is the eighth wonder of the world. - Albert Einstein.

**Know when enough is enough**. Money is a tool, not a purpose.

> For the love of money is the root of all kinds of evil — 1 Timothy 6:10. 

If you want to go deeper, Morgan Housel's [The Psychology of Money](https://amzn.to/42f5PPP) is a great practical read that pairs well with these principles.

Happy Hackin'!

### References

*   [The Best Financial Advice You Will Ever Receive - Mel Robbins](https://www.youtube.com/watch?v=pQjlJud3Tlw)
    

*   [The Psychology of money - Morgan Housel](https://amzn.to/42f5PPP)