Envelopes? How can they help me save money?

For almost all of 2009 I have been trying to stick to a budget. Some months are way better then others. I started researching the Envelope Budgeting System by Dave Ramsey. I found some articles online that explain how to do this.

It is so cool. Basically you make envelopes for all your bills that you pay monthly and your spending habits. You have one for gas, cloths, food, entertainment, and even one for fun. You fill the envelopes with the designated amount of money each month. When the envelope is gone, the money is gone. You don't reach for your credit cards. This helps keep you honest and on track. This can also help you save money for the INA conference or something else big by having an envelope and putting money in there too, and then putting it into your online savings account at ING or WAMU, etc.

I think that after my beach trip next week I will be implementing this system for the rest of 2009 to see how it goes. They say it might take a few months to start getting the hang of it and seeing results. Why don't you join me and we can be "budget buddies" together making sure we are staying on track.

14 steps to the Envelope System

Modified Dave Ramsey Envelope System

update on Modified Dave Ramsey Envelope System