Here's something that I used to do many, many years ago. I learned this from a friend who I saw practised it (that was how I learned --- by watching).
In the beginning of every month, I would label a few recycled envelopes (earth friendly!) the categories of money in my budget such as travel, fuel, food, clothes, etc. Then, in each envelope, I would put in the amount of money that I had budgeted for each category for the month.
Each time I wanted to buy or had to pay for something, I would take out the required amount from the envelope. When I had extras in the envelope at the end of the month, I would take that money out and save it.
It's a wonderful simple system that puts you in touch with reality if you want to keep track of your spending because when the money's gone in the envelope, it's gone. It gives you an honest reality check about your spending habits.
Dealing out cash makes it more intimate as opposed using credit cards which tend to feel like nothing much when you're paying at the point of sales and not only that, you tend to overspend with credit cards because there isn't a reminder of what the limit for your spending is for the month unlike the cash in envelope where you can see your depleting money levels.
Try it, and you'll be surprised at how much more careful you are with your cash.
In the beginning of every month, I would label a few recycled envelopes (earth friendly!) the categories of money in my budget such as travel, fuel, food, clothes, etc. Then, in each envelope, I would put in the amount of money that I had budgeted for each category for the month.
Each time I wanted to buy or had to pay for something, I would take out the required amount from the envelope. When I had extras in the envelope at the end of the month, I would take that money out and save it.
It's a wonderful simple system that puts you in touch with reality if you want to keep track of your spending because when the money's gone in the envelope, it's gone. It gives you an honest reality check about your spending habits.
Dealing out cash makes it more intimate as opposed using credit cards which tend to feel like nothing much when you're paying at the point of sales and not only that, you tend to overspend with credit cards because there isn't a reminder of what the limit for your spending is for the month unlike the cash in envelope where you can see your depleting money levels.
Try it, and you'll be surprised at how much more careful you are with your cash.
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