Budgeting is a chicken-and-egg thing. Knowing where money comes from and where it goes is the first step to realizing how much actually comes in and deciding where it should go.

A Simple Way To Budget? (Your Advice)

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Tracking your spending through a computer program or notebook is not budgeting. That can help you understand where your money is going, but budgeting is telling your money where to go. This means spending your money on paper before you get it in hand. This paycheck I get X dollars. This much goes to rent, this much for entertainment, this much for groceries, etc.

This is a very simple way to know where your money is going. I don’t need to track my money through receipts or enter it into the computer. I know where my money is spent because I decided beforehand where it will go.


There are online services that are supposed to make all this nasty tracking and budgeting stuff simple, easy, quick… But would I really want to do this? This gets into a more complex discussion about privacy, personal information, trusted providers, and what will someone do to earn a few bucks when they have all my personal financial information.

Mvelopes Personal