The Forced Budget Plan
A lot of people scoff at the idea of being as fiscally responsible as I suggest on this site. Ramen and PBR do get old after some time. So, here is a budget idea to help you save money, yet still allow for the extravagant purchase or night out on the town.
A lot of people suggest budgeting by the month, and some even by the year. This can be a daunting task, so for this system, we are only going to be monitoring spending by the week.
Take a detailed look at your expenses and your income, and decide what is an appropriate amount for your weekly budget. I would suggest between $50-$100. be sure to take your monthly bills and such into account if you have them, because they aren’t going to be considered in this money. This money is only going to be for your day-to-day expenses. Also, pick a number you can be consistent with, as these expenses shouldn’t change much from week-to-week.
Go to the ATM, withdraw that amount in cash. Do it at the same time every week, usually on a Sunday or a Monday. once you have your money, there are only 2 rules you must follow. Let’s assume you withdraw $100:
1. You can only spend $100 that week
2. You MUST spend $100 that week.
The second rule is important. This helps reward you for your fiscal spending, and gives you a goal to look forward to. Want to hit up the bars on Saturday night? this will help you spend smarter on Monday-Friday. This way you can still have some money set aside for fun, and manage your money well.
