PAY YOURSELF FIRST — CONTRIBUTING CAPITAL ON A SCHEDULE

Your portfolio grows from two places: the premium you collect and the fresh capital you add.

This lesson is about building the second engine.

Two sources of growth

Premium income from your covered calls and puts is one engine. Consistent capital contributions are the other. Both need to be running.

The math is simple

Five hundred dollars a month is $6,000 a year. That is one more put contract every two months. One more position building toward 100 shares. The strategy does not require a lot of money. It requires consistency.

How to set it up

Look at your monthly income versus expenses. Find a number you can commit to investing before you spend on anything discretionary. Start small if you need to. Automate it so it happens without you thinking about it.

When the cash lands, SGOV or BIL first. Deploy it into your next put target when the level is right.

The goal

Every position has a job. Every dollar is working. You get paid whether the market goes up or not. Consistent, mathematical, and boring in the best way. That is the M$M model.

Action Step: Evaluate your monthly cash flow. Pick a number you can commit to every month. Write it down. Automate it if you can. Know where it is going when it arrives — SGOV or BIL first, then your next put target.

What comes next: You have built the system. Now bring everything to your coaching session — your grades, your pyramid plan, your cash plan, your target list, and your charts.

Join the Good Kids Trading Discord to stay connected and ask questions between sessions.

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Ready to go deeper? The Inner Circle is where I share my watchlist, my trades, and run live sessions every week.