🧾 Your first paycheck

Gross vs. net

The sum you're told is your salary, and the sum that actually arrives, is guaranteed to be different. This is because the one paying you your salary also has costs that need to be covered, and the country you live in often demands quite a bit for letting you live there. If you're told you'll get a certain sum in salary, that won't be the money that ends up in your account. That's completely normal, and that's how it is for all of us.

Tax — where the money actually goes

In many countries we pay tax, insurance, and quite a few other things. Everything should be itemized on your payslip. If you have questions, you should contact your employer. They can explain the details to you. But it's normal that a large share of "your" money goes to others.

Pay yourself first

One of the most important things I want everyone to do when they get paid is to set aside something for your future self. If from your very first paycheck you can get used to saving a good sum, it will start you on a healthy financial journey that you'll thank yourself for many years to come. I myself like to say that 90 is the new 100. Take the sum that actually lands in your account, and remove 10%. Put it straight into another account and pretend you never got it. You're welcome to try to raise your salary and earn more, but always keep the mindset that 10% of what you actually get paid goes to a future you.

See how much you're able to set aside. Feel free to use the calculator below.