Wednesday, October 8, 2008

Works for me Wednesday



This is my 1st edition of Works for Me Wednesday sponsered by Shannon at Rocks in My Dryer.

One thing that works for my husband and I is the envelope system. I first learned about it at here. Here's the steps we take at the first of each month.

-Decide what we're going to spend in our catergories for the whole month. I only pay our bills from our checking account then everything else goes in our envelopes. My categories are

-Gas for Car

-Groceries, Diapers, & Household items

-Eating Out

-Entertainment

-Offering

-Gifts

-School (this covers field trips, lunch, etc for my daughter)

-Convience Store (my husband is addicted to going)

-Emergency

-Then we put the designated amount in each envelope. This means that I have to plan ahead if I want to buy something and I only can spend what I bring to the store which eleminates "extras"

-This has helped my husband and I cut our budget by about $700 a month.

1 comments:

Homesteader in Training said...

We do the Larry Burkett envelope system. We've been budgeting like that for 12 years and it has made all the difference in the world.
Great tip.
Blessings.
Kim