Budgeting Guide #71: How to Do Envelope Budgeting — The Old-School Hack That Still Works

 

No Apps? No Problem. Use the Envelope System to Stay in Control of Cash Spending

Envelope budgeting may sound old-fashioned, but it’s one of the most powerful offline money habits that still works — especially for those who overspend digitally.

---

💡 What is Envelope Budgeting?

You divide your monthly income into physical envelopes marked by category:

• Rent
• Food
• Travel
• Shopping
• Savings

Only use the cash in each envelope for that purpose.

---

🧾 How to Start

1. Calculate your monthly income
2. Define expense categories
3. Withdraw cash and allocate into envelopes
4. Spend only from the relevant envelope

---

🎯 Benefits

• Physically see how much is left
• Avoid impulse spending
• No apps, no tech needed
• Forces intentional use of money

---

💸 Pro Tip

You can create digital envelopes using separate bank accounts or UPI wallets too.

---

✅ Conclusion

If online budgeting feels abstract — switch to envelopes. It’s real, tangible, and forces discipline that most apps can’t.

---