We are using CASH!

[dkenagy]

I can't believe how scary this feels for me, but we are using cash. No plastic- no debit card, no checks (except for bills). I can't believe how much scarier it seems to me to walk into the grocery store with $200 cash instead of just walking in thinking "okay, I've got a $200 total food limit". It's scary, but also very liberating. Who knew it would make such a difference? I love the way it feels to walk out of 14 carrot (whole foods store) or the local mercantile with that change in my pocket, knowing that I've made it!! I'm feeding my family for LESS than the budgeted amount and I've got the change in my pocket to prove it!
Yay for cash! Who says it obsolete?

Darci

[LylasMom]

Good for you! The good old fashioned way to do it, I wish we could do it too! I would be scared too, but it's great that you started the change.

[LadyMarmalade]

We recently decided to start doing this too!

[USAmma]

Us too! Well I still use the debit card but only for groceries and things like that. We are not using the cc anymore unless purchasing on-line-- and that would be homeschooling or dh's work-related books. I used to use the cc for everything so we could earn airline miles. Instead we earned ourselves debt.

[Snowdrift]

We're in week three. We love it. We've tried it before but always ended up spending it too fast and messing up the budget worse than usual. This time I am just carrying the relevant envelopes with me. My pockets are bulkier, but it's easier to not misplace 20's in the wrong pocket.

[CerridwenLorelei]

I wish I could convince my dh

to do this
but the mortage lady agreed with his methods. And eventually we will be outta here...
THough we won't be moving any time soon -and I had to admit he was right
it should have snowed over that one!

[rabbithorns]

I've been using the cash system for 15 years and it's been a life-saver. I had no idea there was a system called the envelope system, but that's the way I've run my home for most of my kids' lives. I take out cash for food, gas, kid allowance, school lunches, incidental expenses (going out to dinner, take-out pizza, haircuts, new water filter, stamps, whatever - it's only $200 a month).

Everything else gets automatically deducted (charities) or paid by check (rent, electric, phone). Non-monthly expenses (like clothes, doctor visits, car repairs and insurance) are averaged per month and that amount goes into a separate account. That way I don't think I "have" that extra amount to spend.

My husband, who can't take care of one dime, believes we never would have gotten out of debt if I hadn't been so strict with this method. It was the only way we could separate out any money to pay debt. I got out of $15,000 credit card debt (from when I was a single mom and not getting support) and I also got rid of my husband's $8500 credit card debt. It's great to see folks using cash instead of plastic to live.

[earthmama369]

We've been doing cash for our groceries for about six months now and it's soooo much easier to stay within budget.

[CrazyCatLady]

I can't do the cash thing. If I have it, I tend to spend it. For whatever reason, I don't do that with my bank card. Plus I've been known to lose cash. So I never have cash on hand and sometimes it sucks, like when I'm somewhere that requires money to park. But whatever keeps you from spending is awesome. I hope that it works out for you.

[dkenagy]

See, Melaya, I have just the opposite problem. Whenever I have cash (because I usually don't!), I hoard it. I think this goes back to when I was a kid... we always got money from the grandparents, etc, and my Mom would keep it and only give us tiny amounts for very specific reasons. Just having that tiny bit of cash was such a rare thing, I never wanted to spend it on whatever I had finally been allotted money for. I'm reading Suze Orman's 9 steps to Financial Freedom right now and the first chapter is about remembering what money was like for you as a child. That's why this came up... I don't want anyone to think I'm blaming my mom for my budgeting issues!!

Darci