Free Online Article Directory. For Article Authors & Publishers
Control Your Spending with an Envelope Budgeting System
Setting up a budget is a great way to manage your personal finances. There are many budgeting and personal finance management systems available today, ranging from simple pencil and paper systems to expensive budgeting software. If you're looking for a way to control your spending, here is a system that is inexpensive and easy to set up and use.
It's called the envelope budget system, and it's similar to what your grandparents probably used for managing their money. First, you need to set up a budget by creating categories for things you spend money on each month. Common categories include groceries, dining out, transportation, utilities, entertainment, clothing, household expenses, fun money, and miscellaneous. There will of course be a few things you won't be able to put in the categories such as automatic withdrawals and bills paid by check. But everything else can be put in your categories. Look at past spending patterns for the categories you set up, and estimate what you will likely spend in the upcoming month.
Next, total up all of the expenses for the month and make a withdrawal from the bank for that exact amount. Then label each envelope with the categories you've identified, and fill each envelope with the money you've budgeted for that category. For example, if you have budgeted $50 for clothing for the month, put exactly $50 in cash in the clothing envelope.
When you shop or pay a bill, take money from that category you need to pay for. If you need to go to the grocery store, take as much money as you think you will need for your shopping list, and then pay cash for your grocery items at the register. Any excess money you will put back in the envelope for later purchases. Once you've spent all of the money in any envelope, you're done spending for that category.
It's o.k. to transfer money between categories if you need to, i.e. you have $25 left in your entertainment envelope and you transfer it to your empty grocery envelope. However, you must resist the temptation to visit the ATM or charge your expenses if you run short for the month. It's important that you learn to spend only what you have in the envelopes to avoid continuing going into debt.
In conclusion, using an envelope budgeting system is a great way to control your spending and get off of the credit charging merry-go-round. With some practice and discipline, you'll get the system down and learn how to pay off your debt, save money, and build financial stability in your life.
Author Resource:-
Jesse Whitehead lives in the Central Valley of California where he enjoys writing articles on a variety of different subjects. His latest interest is in Orbita Watch Winders. Come visit his latest website at AutomaticWatchWinders.org where you will find more information about automatic watch winders.
Deciding on what to jot down in and where to have your Little one Thanks Cards require not be nerve-racking. There are plenty of fantastic little one poems and infant card sayings to pick from so actually all is left to suit your needs will be to opt for phrases that have the best that means for you personally along with your new bundle of joy.
This article looks at 5 important factors you need to consider before investing in a used ramp for a wheelchair. Remember that adhering to these factors can help you save money.
This is hardly surprising, as millions of jobs have been lost over the past few years. Do to this reality, more and more people are welcoming the idea of a home based business. Should this attitude describe you, this article will propose a number of suggestions when aiming for the right work at home opportunity.
Replacing the windows in your home is a major project, but it can be well worth the cost and effort. When you trade out your windows for energy-efficient windows, your utility costs will go down. There are many windows to choose from, so finding those that match the house will make things look great.
Installing a bathtub when you have a limited amount of space can be very tricky. Trying to squeeze in a shower stall right next to your tub can make it even more difficult for installing a standard 5' bathtub in a small bathroom. There are options for small bathtubs that one can take advantage of.
Almost every new home has an outhouse or a shed for one reason or another. An old storage for dad’s old gardening implements or a shelter for mom’s potted plants is most commonly seen. However more often than not, a shed gets neglected after a few years and ends up collecting moss and weed. Meanwhile all the implements and utilities lay dusty and unused inside. A lot can be done creatively to use the space available inside the shed in innovative ways.
![[Valid RSS feed]](http://www.articlelisted.com/images/icon_Rss.png "XML Feed For RSS"){kind=icon}
Jesse Whitehead's Author Feed
Print This Article
Add To Favorites 