Tuesday, November 20, 2012
Back to Budget: The Envelope Savings Method - How Do You Save?
I love taking being a cheap bastard to the next level by setting a budget and sticking to it- or going the extra step by going under my budget. I started doing the envelope budget method at the start of the year but fell off it when my envelopes ripped apart from frequent use. Bad excuse, but I want to get back in the habit this December and into the new year!
Here's what I'm thinking of for December:
Car's Gas: $40
Fun Stuff: $25
I know that's super low for December, but a lot of my gifts have already been purchased- and a lot my gifts are going to be prepared food items. (I'll share recipes later!) Want to play along and get back on track with savings? Here're the rules...
Envelope Budgeting Saving Method Rules:
1. Never over the amount in the envelope.
2. Never switch cash from one envelope to the other.Once money is out, it's out!
3. Make it a game, try to carry over as much cash as possible to the next month!
I'll follow-up with how I did at the end of next month. It should keep me accountable and maybe inspire you to get reckless spending under control. I love using this method to save because it makes your spending tangible and forces you to get creative to keep on track. You look for free events, carpool, pack lunch instead of buy it, and hit the thrifts for essentials to save.
What Methods Do You Use to Save? Planning any financial new years goals already?