What is a cash budget? A cash budget method prevents you from overspending by only allowing you to spend in cash. And who doesn’t like not over spending?! Each month (or two weeks, or week) you pull out cash and use it for your purchases. Some popular categories include groceries, entertainment, and other weekly shopping needs. At the end of the month (or week), you can either save your leftover cash in one of your savings categories, or you can roll it over to the next month. If one category empties, there are other categories to borrow from. You should try to avoid borrowing, though. A cash budget works really…

Many readers are often asking about the different types of budgets…because there are a lot. I’ve tried just about every budget on this list, and many of them simply did not work for us. In fact, only one did work, but I’ll get to that later. First Steps in Budgeting Track Income When choosing a type of budget, you need to have some basics down before choosing. First, you should know what kind of income you have. My day job pays me twice a month, so 24 total checks in a year. It’s a salaried position, so the amount is exactly the same each time. My husband works in an…