Cash envelope system

Saving money is not always easy, using the following method is a simple method anyone can use to start saving. You can repeat the method and have different categories for each of your savings accounts. I’ll be introducing you to two different savings methods

You’ll want to start by having envelopes set aside. I used A6 craft envelopes, there’s something about their simplicity. I feel that this type of envelope is universal and can be used for anything not just invitations. Once you have selected your choice in envelopes you’ll want some type of pen or marker. You can either write on the back or front of the envelope. I prefer to write The day of the week and amount on the back of the envelope as this provides me with more opportunities to jot down what I am depositing into the envelope on a weekly basis.

For the first method you’ll want to use seven envelopes, each envelope will have one day of the week Monday – Sunday. Starting with Monday’s envelope you’ll want to mark it with $1 and you’ll increase it as you progress through writing the remainder of the week ending with Sunday having $7 written on it. On the blank side of each envelope you’ll want to draw lines going across at the very top the labels will be date, deposit, balance. You’ll want to keep track of these as you will be filling it out each time you make a deposit.

For the first method, at the end of the 52 weeks you would have saved $1,456.

The second method will also require seven envelopes with the days of the week written on them. This method however will have you start Monday’s with depositing $5 and will increase by $1 each day after ending with Sunday’s having $11 written across. Again you will create labels at the very top with the following: date, deposit, balance. As long as you enter the amount written on that particular day of the week by the end of the 52 weeks you would have saved $2,912.

You can combine both and continue this until the 52 weeks are up, if you do combine them you will have saved $4,368 at the end of the 52 weeks.

The important part to remember with saving is to work with your own budget not someone else’s or what you wish your budget were. Instead know how much you pay in bills and how much you have left over, limit your unnecessary spending. Keep track of what you are spending your money on and truly determine the difference between a want and need. I’ve been guilty of making purchases for many of my wants and then regretted it after. I’ve learned to slow down my spending by jotting down what I want and what I would use it for. If its something I feel I might really need, I enter it into my online basket and leave it there for a few days. Most of the time by the time I come back to view said item, I’ve determined I no longer need it. What I have also done is determined if I’m willing to spend money on a want instead of a need I enter that same amount into my cash savings method, which helps deter me from spending needlessly.

I’ve inserted a link to my video showing you what you’ll do.