Are you trying to get a handle on your spending? Then cash envelopes are the way to go. In this video I review how I create my own funky cash envelopes, using some colouring pages and a laminator.
I have been tracking my spending habits and budgeting for six months now. To do this I sit down weekly and go through all my debit card transactions, then I translate the data into a spreadsheet. From here I analyze what changes I need to make in my budget. I will be posting a video soon about this process.
While this method has been working for me, I have decided to try the cash envelope method for the next couple of months. Essentially I will be only using my bank account for any online bill payments, for absolutely everything else I will be using cash. To help me ensure that I don't spend all my cash in one place, I am separating my budgeted categories into their own individual envelope. I am hoping that the cash envelope method is going to help me save money to put towards my debt.
In this video I am stuffing my first cash envelopes, watch to see how I have decided to break down my categories.
The first step to becoming debt free, is facing the fact that you have debt and that debt means you are broke. In other words, you can NOT afford to spend money on consumer items. Of course you need to ensure that that your basic necessities are covered: food, shelter, health.
Six months ago, I came to the realization that if I didn't make a conscious effort to pay off my debt, then I would not be able to get out of it. In this video I reflect on where my debt spiral began and explain how I ended up with not one, not two, but eight different loans!!
Follow along with me as I embark on the ambitious task of paying off my debt in less than half the amount of time it would take to pay it off with minimum payments.