Reverse envelope system?

**Ocean_Beach_Dweller** · 09-07-2009, 07:00 PM

I can't bring myself to do the envelope system, it just makes me so nervous having so much cash on hand, and I don't have easy access to an ATM where I live now.

So I started doing a reverse envelope system of sorts. For example, I have an envelope with "groceries" and the amount $200 written on it(200 being my monthly grocery budget) As I buy groceries I subtract what i spent from the 200 and write the new remaning balance, and then add the receipt to the envelope. This is the first month trying it but so far it seems to work, and i like being able to easily see how much i have left in my budget for various categories.

It seems like everyone needs to find a system that works for them and for me this is the best I can do right now

**hotprincesscm** · 09-07-2009, 07:07 PM

Wow that sounds good! I do the envelope system..I like having all the money in the envelopes ready and waiting for the bills to come in. It works for me.

**Greebo** · 09-07-2009, 07:10 PM

I think that'll work just fine - using a notepad instead of an envelope as long as you have the self-discipline not to fudge? No problem at all there - its still making your money sit up and explain where it thinks its going when it tries to leave.

**never2late** · 09-07-2009, 07:11 PM

It sounds like you found a good solution for your situation. I know a lot of people don't like carrying the cash around. As long as your envelope totals balance out, I think you've got a winner!

**MaryCarney** · 09-09-2009, 08:01 AM

I like the way you thought about it, and instead of just dismissing it as 'unreasonable' or 'unworkable' figured out a way to make it work!! Great job!!!

**CouponShelle** · 09-09-2009, 08:28 AM

I agree with MaryCarney, too many people would've just said "that doesn't work for me". You made it work, impressive!

**Greebo** · 09-09-2009, 08:35 AM

Agreed! You turned an "I can't!" into a "How can I?" That's a fundamental key to success, right there! Good job!

**mommy4ever** · 09-09-2009, 10:23 AM

Great idea

I do something similar as well. I tried the envelope system and it wouldn't work here, because where we fuel up.... doesn't take cash!

So on payday, I pop in and purchase their "cash card". One for me one for dh. That way we have better control over the bank account. They don't sell anything BUT gas at this place, AND it's cheaper by 6¢/L (24¢/Gal). So it's worth it. I just recharge the card, so if we don't use the full amount, then it's just added to. So far it's worked great.

I also do this for groceries. One of the kids activities use GC for a fund raiser. I give them $100 get $100 and they get 10%. Doesn't cost me anything. SO I just do my grocery budget that way. When the card is empty it's done.

i have been adding to a Wal-Mart GC for Christmas. I add do it weekly. This will cover everything I need to buy, and I get a couple other GC> too.

I have a notebook where I record it all. I also keep a catch all envelope for all the receipts. This also helps when I have return or exchange, as I record in the notebook if it was clothes for which child, or gift for who ever. So I just need to find that monthly envelope to do so. If there is a warranty, those receipts get stapled to manual and filed under warranty in my cabinet. But it works great.

Like you I don't care to carry alot of cash around. So this is a modified way to do it.

If you are disciplined with the debit card it works well. I find I'm less so with cash. Debit, yes. I plan it all.

**missmanny** · 09-09-2009, 09:39 PM

when I first started out I did something very similar...

eventually once my debt was paid off and I was in the right habbit, I have swapped and now just keep a running tally of my totals on an excel spreadsheet.

I deduct from the budgeted ammount and can easily see how much I've got left. This is only practical though as I am very strict with myself and only allow myself to grocery shop bi weekly, couldn't imagine entering in the numbers on a daily basis, the electricity etc are only due quaterly so they are pretty easy to keep track of.

I don't track my "blow" money though, I withdraw that biweekly in cash and once it is gone then that it it!

congratulations for making this work for your circumstances.

**Ocean_Beach_Dweller** · 09-09-2009, 11:43 PM

I love your method mommy4ever! I might need to try to the giftcard method in the future

**mauimagic** · 09-10-2009, 04:38 PM

Love the idea of filling op a grocery store gift card every week - that will certainly work for me!!

**CrazyHomemaker** · 09-10-2009, 09:18 PM

O_B_D - you made it work! Great job! I like the idea better than keeping money around. I think I'll do half and half. I'll keep the 'blow' money and gas money as real cash. The rest can be done by debit to the checking.

mommy4ever - The gift card 'savings account' sounds like a winner, too! I wish there were more stores other than Wal Mart that have these near where I live. I could use a grocery gc account. Murphy Mart gives a 3 cent/gal discount for using the Wal Mart gc. Hmmm...maybe I'll give it a try.

**ampw** · 04-14-2010, 10:54 PM

Sorry late to the conversation, thanks mommy4ever I love your GC idea!

**AnW819** · 04-14-2010, 11:31 PM

DH also has a problem with having $700+ sometimes in your envelope system accordion folder thingy. It makes him really uncomfortable and I do understand, so we still use envelopes like you...its just most of the money goes in the bank after we get paid and pay what we need to pay right away, if that makes sense.