As one of my new years resolutions, I vowed to tighten the cash reigns a little bit. I have reworked my budget based on most expenses (minus a few that B covers himself). As a single income family, he puts some of his pay into my account each month and I am in charge of running the household, paying some bills, medical expenses and basically all daily spending. I keep a certain amount in my account for things like doctor's appointments, health insurance and phone, put aside a certain amount for our monthly savings and then take the rest of the cash out and split it up into different capsules to dip into every week/month. I have used this kind of envelope system before and it seems to work well, as long as you remember to keep all of your receipts, put your change back into the right envelope and remember to bring the envelopes with you when you need them.
Here are the capsules I created: EATS (groceries etc.), DIGS (entertainment/meals out), SPLURGE (toys/clothing/gardening, crafting, home decor), HOT MAMA (waxing, hair, makeup etc.), BE CLEAN (supplies/monthly cleaner). On the back of each I have the amount allocated per week and month and the list of things associated with the category.
If there is any money left over from the month, I keep it in the capsule instead of putting it in the savings account. This is because for example, I only have my hair highlighted once every 4-5 months so I will have to put aside a little each month to have enough for my treatment in 5.
Budgeting is tough, but the more you do it and work on it the easier it becomes. It also helps that I have vowed to go my 365 days of nothing new, which means even when I am "SPLURGE"-ing the items are second hand and a lot cheaper than if I had bought them at full price.
How do you budget your money, and more importantly save? I am a true Cancerian- I love a good little nest egg to rely on when you need it.