In the fourth lesson in his book Law of Success, Napolean Hill discusses the “Habit of Saving”. It is clear that humans are naturally creatures of habit, for when someone forms a habit it becomes a part of their everyday life. Therefore, Hill explains that one must make a habit of saving, which will result in saving becoming an integral part of one becoming successful.
However, one characteristic that a majority of people have is the lack of making a habit of saving, and instead making a habit of spending. Hill discusses that this habit of spending has resulted in many people spending more than they earn, thus making it impossible to build up any form of savings over a period of time. It is crucial to live within your means until you have accumulated enough capital to begin using some of it recreationally.
Nevertheless, no matter how much you are earning at any given time, Hill suggests that you set aside 20% of your income in a savings account. This number will gradually build up until you have established financial independence, and the fear of debt will not be present in your mind.