[GirlBoyGirl]

Does your employer do direct deposit for your paycheck? If so, do you go to the bank on payday and withdraw the money to put in your envelopes? Do you withdraw all of it or leave some in for writing checks? Just wondering what I should do as I begin my envelope system. Also, I am not quite sure how to start. Should I go withdraw all the amount I need for my envelopes and move any overages to savings? Thanks!

 

[Ceashels]

Greebo and I do both. He has direct deposit and I deposit my checks weekly. When we withdraw our money for the month, I take out what I need to fill the envelopes. The rest of the money stays in our checking account for our sinking funds and bills. We calculate our overages at the end of month budget meeting and move that to savings or to a special project fund. If you have debt, this would be your snowball to wipe that sucker out.

We have found that this works out very well for us.

 

[Dancing Lotus]

I go to the bank on payday and withdraw my cash allowance for that pay period. The rest stays in the bank.

 

[krbshappy71]

I have all my bills scheduled for Bill Pay within 3 days of my payday. I don't like waiting until the due-date of 15th as its too tempting to touch the money, to play "hmm I get paid from pt job before then..." etc. Self-control is such an issue for me right now.

I found I was spending the "extra" envelope cash instead of rolling it over or putting it back in the bank so I am now using debit card for those transactions. (pet food, gas, food) and rolling over the entire amount at the end of the month to the next month. Don't know why that is working for me but so far so good.

 

[mndtrp]

My coworker has direct deposit, and his family uses the envelope method. He goes to the bank at the beginning of each month, and withdrawls the monthly budget in cash.

 

[GirlBoyGirl]

Cool, thanks everyone.