ladies, my eyes are opened!

i have only been eveloping it for a week and it has changed my thinking.

***i now get it***

i printed out my purchases, atm fees and atm withdrawals from june, july and aug and i am floored.

over $36 in fees alone
over $1100 in atm withdrawals, though im not sure where the money went since i pay my bills through my checkbook. thats 1100 in summer cash that went somewhere and i dont know where!

now i have one atm withdrawal for sept - 500 bucks. and i took that and divied up my envelopes. and no fee, i went to MY bank that doesnt charge the 2 bucks.

i also get that the envelope thing is something that you tweak. every few days i see a need for a different envelope.....

so this has opened up my eyes and its all correct - CASH is the only way to go to control spending.

I am interested... can you tell me what the envelope thing is?

I am having a hard time financially and am looking for ways to help!!

thanks

yah me too. I see the threads but I don't quite get what you guys are doing. Can someone link me to the program?

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~Missy~Mommy
Meghan7.Samantha6,Cameron4

Back together!! Sept 28th Boston TDCenter!! Woohooooo!

Most of us doing the "envelopes" are following a program by Dave Ramsey. He beleives that the only way to pay for purchases is by using cash. This way, if you don't have the ability to pay for something in full, you don't put it on the credit card and pay 25% in interest on something you couldn't afford in the first place. He has gotten rid of all credit cards - only uses debit for hotel reservations etc. And uses cash only. He says that research shows that when you use cash only you will spen 12% less in general b/c it hurts to pay cash. You never feel the "pain" with a credit card. So he recommends doing a budget or what he calls a "cash flow plan" where all your incoming money has a designated place to go. So then for categories that are not regular bills (utility, mortgage etc) get cash and for each category put that in a separate envelope. I believe that we have 8 or 9 right now. Groceries/toiletries, Eating Out, Entertainment, Gifts, Haircuts, Diapers, Miscellaneous, and Clothing. You put the designated amount in each envelope and when it is empty you spend no more in that category. It makes you watch where your $$$$ is going very very VERY carefully!!

Okay I get it now. Sounds like a great plan and I should be doing it!!

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~Missy~Mommy
Meghan7.Samantha6,Cameron4

Back together!! Sept 28th Boston TDCenter!! Woohooooo!

I have been doing it for 2 weeks and it has help. I currently reading Total money makerover. And it's great!!!

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Advice for the day: If you have a lot of tension and you get a headache, do what it says on the aspirin bottle: "Take two aspirin" and "Keep away from children."
--Author Unknown

I plan on trying this, but in about a month

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So true - I've been "enveloping" for a few months now and am so much more aware of how much I spend and I am so excited when I have money left over at the end of the payperiod in my envelope!

I didn't know about the 12% part, but I would bet I spend less than 12% with cash!! I spend a lot less!

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Debbie

"Watch the pennies and the dollars will take care of themselves." --Benjamin Franklin

Kelly
Glad your doing well and now have the handle on your spending. Now watch that money grow in the bank!

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We buy things we dont need,
with money we dont have,
in order to impress people
we dont like?
(Ramsey, D)

And, if you fall off, just GET BACK ON. We ALL fall off...but it is the staying off that is the worst!! I know!!! I have experienced it..and AM experiencing it. We know we can't get back on until next month, but boy will we when that comes!!! LESSON LEARNED!

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Shaking in my boots (well, if I was wearing them in the middle of summer!), but glad to be back!