Yes after 6 years I still use my jars, inspired by Gail Vaz Oxlade. Not 100% all the time, but they help guide and keep me focused each week. I would not, I repeat, I WOULD NOT, have had any of the successes I have had in debt repayment or planned spending or savings, if I had not started using them.
At any rate, I have changed my jar amounts a few times over the years. I tried to find some specific numbers on my 'money jar' tags, but there were 44 entries. Not enough time this morning to go through them all.
My last change was August-ish when I cut money out of the grocery budget to repurpose towards DS1's college groceries. That shift brought my budget down to $300 a week.
Now I decided to cut out $20/ week from my $40 / week entertainment budget. This gives me a net save of $80 a month.
My entertainment money went into it's little jar. I never had a real purpose or savings goal for it. I don't go to concerts. We don't really go on holidays. We don't go to fancy restaurants. So really the money just sat there and I would end up pulling it out for pizza or something like that. Not a really special use of the money.
Funny how I can not touch other pots of money, but that money trickles away.
Anyways, I needed to 'find' another $59 per month to make up for the net income reduction that occurred this year due to higher deductions.
I waffled on the 'where' and this is where I decided. If I change my mind, then I will retweak it and make it work.
The additional $21 not needed to make up the reduction went to my savings goals.
7 comments:
Jolie, why don't you use the entertainment for yourself? Maybe you could save for a vacation for yourself or month pedicures? Just a thought!
I can't remember the jar theory. Do you use the jars to visualize your budget, and keep cash at hand for your monthly spending?
We do all of our spending monthly on a credit card (for points) & then pay off at the end of the month. I definitely know/suspect that not using cash makes it "easier" to go over budget (there's no need to draw the line & put something back when it's plastic), but we get a lot of rewards on the credit card - enough that the two (the additional spending vs the rewards) probably evens out, or lands on the side of the rewards.
I try Sam, I really do, and then my maternal instinct kicks in when the boys need a something. Not want, but need. one day I'll get better at it LOL
HP - it's kind of like the envelope system. I use cash for variable spending for groceries/household, gas, entertainment and spending. Everything else is more planned out and goes on CC.
I am much more mindful for those categories when it's cash based.
We have a really low entertainment line in our budget aswell. Really the only thing we purchase is Netflix and maybe video games every now and then. There isn't really that much to do In a small town and when we go to the city (which isn't very often) we are normally grocery shopping or stocking up on supplies. We don't mind it though & I think you and I are both pretty simple :)
I like the idea of the jars. I think I'll do that. I went to Gail V website and read about it. It's pretty much like the envelope system of DaveR. I don't put stuff on our cc , but maybe I should for the points? Not sure, I like your budgeting tips.
I don't use jars but keep track on paper (daily) what i spend in my gas budget, food budget and misc budget so that I don't go over budget. Like Hawaiian Planner I use my President's Choice Mastercard to purchase everything (for the points) and then pay it off daily.
PS I like Sam's idea!
Christina - it's well worth a read at G vaz O. not every system is for everyone. This one happened to work for me.
SS - I would agree with you :-)
Jane - I envy your resolve to keep track of those categories and pay it all on CC
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