As you can imagine, it didn't work so well. It was difficult to follow a written budget when I was not consistently writing down our expenses.
A few years ago, a friend mentioned using a program called mvelopes. It is based on the envelopes system where you place cash in an envelope for each budgeted area. Instead of placing cash in an envelope, you electronically assign your budgeted amount to each envelope. Each day transactions are downloaded from your bank and credit card company. When the transactions are downloaded you can assign them to the correct envelope. You are able to track your spending and stay within your budget.
I love the mvelopes system! It is easy to use and helps us to maintain our budget each month. It takes just a few minutes each day to assign transactions to their envelopes and I can see exactly where I am with our budget. Using the mvelopes system was integral in helping us to become debt free.
I have two 90 day memberships to giveaway.
Do you follow a budget? If so, what makes it easy or what are the challenges?
* I was not paid to talk about mvelopes or given anything in exchange for this post. I love the system and wanted to share it with you. I received the 90 day memberships when I became lifetime members of mvelopes. I thought this was a great way to share them!