Pro tip: I used to think a budget was just a list of bills until my car broke down in Austin

For years, I would just pay my bills and spend the rest without tracking anything. Then last summer, my car needed a new transmission in Austin and I had zero savings for it. I had to put the $2,800 repair on a credit card. That was my wake-up call. Now, I use a simple spreadsheet to plan for every dollar, including a 'car repair' line that gets $75 a month. It's not fancy, but I'm not panicking anymore. What's a simple system that actually worked for you when you started budgeting?

3 comments

3 Comments

the_elizabeth2mo ago

Try the envelope method with real cash.

grace_perry442mo ago

My cash would just run away screaming.

jordanm1922d ago

The envelope method works fine if you've got steady income and predictable bills. For most people that's just not reality though. Cash in envelopes doesn't help when you have an emergency vet visit or your car breaks down. A debit card with a separate savings account makes way more sense for actual life.