Had to choose between a weekly envelope system and a zero-based budget app last month.

I went with the envelopes for groceries and gas because the app just felt too disconnected, but now I'm wondering if manual cash counting is really sustainable long term, has anyone made a similar switch and regretted it?

2 comments

2 Comments

owens.cameron12d ago

...my buddy Mike tried the envelope thing last year and it was a disaster for him. He kept forgetting to go to the bank so the cash would run out and he'd just use his debit card anyway, completely defeating the purpose. Then he lost an envelope with like sixty bucks in it somewhere in his truck and spent a whole weekend tearing the thing apart looking for it. He eventually switched back to an app and said the peace of mind was worth it, even if he didn't love typing everything in. I think it depends on your personality though, some people need that physical reminder of money leaving your hand.

miam7512d ago

Yeah but the whole point of the envelope system is you're supposed to take out all your cash for the month at once, not go to the bank every time. You just withdraw like $600 for groceries and $200 for eating out and stuff, put it in the envelopes, and that's it for the month. If you're out of cash you're out of money for that category, you don't use the debit card. Mike kinda did it wrong from the start, no wonder it didn't work for him. And losing an envelope is a risk for sure but you can use like a coupon wallet with dividers, keeps everything together. Not saying it's for everyone but his buddy's experience sounds more like user error than the system being broken.