I Stole This Payday Ritual From TikTok. Will It Actually Work?

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A few years ago, I got really into painting my nails. It became a nice Sunday routine: I'd put on a silly background show like Nailed It!, grab my Caboodle of supplies and get to work. I would cut my nails, file them and oil my cuticles before brushing on two coats of color polish followed by a quick-dry top coat.

All those steps, in that order, made for the perfect at-home manicure.

This led me to develop routines for other everyday activities, like grocery shopping and doing my laundry. I fully evolved into a creature of habit. But I never even thought about introducing a payday ritual into the lineup — until I saw a TikTok about it.

What is a payday ritual?

Michael Pumphrey, wealth advisor at Tanglewood Total Wealth Management, says the definition of payday ritual is simple: It's "a dedicated time to reflect and to focus on how you're doing and what you can continue to work on to get you where you want to be." It doesn't matter whether you get paid weekly, biweekly or monthly — the benefit lies largely in the fact that you're keeping a regular appointment with yourself.

With any dreaded task, like going to the gym or taking out the trash, establishing a routine is crucial because it means you'll actually accomplish it. Otherwise, Pumphrey adds, something like budgeting "can easily fall to the bottom of your priority list."

Consistency is key here, says Mandy Kelso, TD Bank's head of financial education. It's less about stopping yourself from spending money the second you get it and more about using payday as an opportunity to manage your cash flow.

"It ensures that every decision you make — big or small — supports your life goals and enables you to grow financially," she says. "You should feel a sense of empowerment around your financial health and more peace of mind."

Fine, I'm convinced. So what actually needs to be on the checklist?

Kelso says the first thing to do is housekeeping: Make sure you've received the right amount from your employer. You should also scrutinize your pay stub to confirm that withdrawals like your 401(k) and health savings account contributions have come out properly, says Equitable Advisors' Zach Melone.

Next, begin dividing up your take-home pay. You'll want to prioritize your essential expenses, paying down debt and your emergency fund. Then you can allocate the remaining balance to align with your goals.

Those goals will vary from person to person. Maybe you want to invest for retirement or save for a new car, while I have my heart set on buying a Ninja Slushi or taking a trip to Amsterdam.

Payday is the perfect chance to see whether you're on track — and, if not, change your approach, Pumphrey says.

One way to do this is by working backward: Start with the sum of money you know you'll need and do the math to determine how much of each paycheck you need to sock away to reach that sum on time. But if that's too complicated, you might want to follow the 50-30-20 rule. It suggests spending 50% of your income on needs, 30% on wants and 20% on savings.

"These simple but effective actions will create a routine that puts you one step closer to achieving your financial goals, every time you get paid," Kelso adds.

This might sound like a lot of work (and it is). Thankfully, there are hacks that can make payday rituals an easier lift.

Perhaps the simplest is to automate everything. Melone gives a great example: If you get $3,000 deposited into a checking account on the first of the month, you should set it up so that on the third of the month, $300 goes to a Roth IRA where it gets automatically invested, $300 is whisked away to a savings account for a house down payment and $1,000 gets transferred for rent.

By addressing your obligations upfront, all you really have to do on payday is check that the deposits are in the right place (and that you're progressing toward your financial milestones).

The experts' other tip for painlessly creating a payday ritual is to incentivize yourself to complete it. Pumphrey suggests following your budget review sesh with a nice dinner; Kelso recommends pairing it with a celebratory coffee.

"If treating yourself each payday helps you stay on course, include that in your budget," she says.

The bottom line

A payday ritual — in which you set aside time to evaluate your behaviors, check in on your progress and identify needed changes — can set you up for success. Everyone's routine may be slightly different, but it can really move the needle.

"The true impact of a payday ritual is that it encourages you to manage your finances with intention, consistency and protection," Kelso adds. "By doing so regularly, you place yourself on a clearer path toward lasting financial health."

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