Imagine money piling up all over the place. That’s what happens with our Digital Envelope System. The Digital Envelopes are chosen by each person but typically include the emergency fund, home repair, car repair, travel, gifts and more. With our system, you will set up automatic transfers to allot money for each account each month. Then, you’ll sit back and watch each account grow with each paycheck and be super excited because you’re covered whenever something big comes your way.
The Digital Envelope System was born out of a desire to have money available for each need without having to use cash for every item. We don’t recommend this system until you’re very comfortable and disciplined with your budget and sticking to it. That’s because you might find yourself robbing Peter to pay Paul. That’s no good! Once you are ready, however, you’re absolutely going to love this system!
The Digital Envelope System mimics the Cash Envelope System but takes it up a notch. With the cash envelope system, you pull money out of your bank and divide it up into budget items like gas, groceries and personal spending money. Our digital system allows mature budgets to use “Digital Envelopes” to hold the money for all of these items. It also sets up containers for the Savings Buckets (see the podcast published right before this one).
The Digital Envelope System works with a habit you already have: bank account balancing. That means that you look in your bank app to see if you have money. However, in this instance you will be looking at a specific account to see if you have money for a particular expense.
It also works with another new human behavior concept: gamification. Gamification applies typical elements of game playing (e.g. scoreboards, rapid feedback, reward structure and more) to other areas of life. In this case, you have a scoreboard every time you open your bank app and you’re in competition with yourself.
Listen in to learn how to use this system and:
- How to know exactly what you can afford for big and small expenses
- How to know exactly what you have for each category in your budget
- How to separate your bills, expenses and savings
- How to get excited about saving money
- Exactly how to set up a Digital Envelope System
- How to apply gamification to your money
- How to use this system to save & pay for things like medical copays and pet appointments
You’re the master of your money, not the other way around. We are teaching you how to have a good relationship with your budget and your money. We want you to feel confident and excited about your financial future!
148 | Financial Freedom Blueprint: 7 Smart Ways to Live Below Your Means and Thrive – Financial Coaching for Women: How To Budget, Manage Money, Pay Off Debt, Save Money, Paycheck Plans
Book Your Free Call Now!
We are excited to create the time & space to talk to you about your current money situation. This is a free, no-obligation call where we can answer questions you may have and maybe find some quick wins for your budget.
What do you have to lose?