Budget Plan

I'm using Dave Ramsey's envelope system for budgeting my money. It's fairly easy. All you have to do is set envelopes for each place you spend money (Walmart, Gas Station, Grocery, etc.) and divide up your money into each envelope. When you run out of money in that envelope, that's it. No more spending for that area. If you are running low on gas, and you are almost out of gas money, cut down your traveling as much as you can (it's good on your wallet, and the environment).

I took it a step further. Instead of carrying envelopes around, and wondering where to hide them at home, I keep all the cash in my wallet, or bank account. I then have all my "envelopes" categorized into accounts on moneytrackin.com and when I spend money in that category, I take out my iPhone, and using the moneytrackin app, I deduct it from my account.

It was hard at first, being tempted to spend the money in other categories, but I've gotten better.

Some of my categories are:
Eating-Out Money

In the "savings" account, it's what I use to save up to what I want to buy, say a new computer, etc. I have a totally separate savings account in the bank as a back-up for a cash melt down or something of that sort.

Hope this helped!!
Tags: budget evelope system
Posted on 26-12-2007 05:19 | 1 Comments | Favorited 1 times | Marked 0 times as inappropriate


#1     This is a good tip. Thanks!
Posted on 24-06-2008 17:00

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