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About This App

LAST UPDATED:
Mar 13, 2011
CURRENT VERSION:
1.0.5
REQUIREMENTS:
Compatible with iPhone, iPod touch, and iPad. Requires iOS 4.2 or later.
APP SIZE:
3.27MB
APP SCORE:
Avg. score: 2
Rating: 5

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The Envelope System

TOTAL DOWNLOADS:
9
TECH SUPPORT:

The Envelope System Description

The use of envelopes for budgeting is an art which has been lost over time. Before credit and debit cards, people would actually carry cash around. Imagine that!

Born out of the necessity, the Envelope System comes to us courtesy of our grandparents. When the country was mired in the Great Depression, the single greatest financial catastrophe in its history, families were forced to make cuts and concessions. The wasteful era of the decadent 20’s was gone, and with the new decade came a slimmer, tougher way of life. Our grandparents created the envelope system to ensure that they were only spending money on the things that were important.
So how does the envelope system work? Basically, you review your income and budget your money into one of numerous categories. Anytime you make a purchase within the next thirty days, you “pull” money from the envelope that corresponds to your purchase. When the money from that envelope is gone, no more spending in that category. When the money from all the envelopes is gone, no more spending at all. It’s simple, and coupled with the strong desire to achieve financial security, you’ll be able to create a budget which will allow you to finally start saving.

This envelope system, taken directly from The Frugality Game (www.thefrugalitygame.com), is your ticket for the train to greater financial strength. All aboard!

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