– I love utilizing cash for the variable, discretionary categories of your monthly budget.  Using cash helps you spend less and helps you keep better track of where you are with your budget.  A cash envelope gives you immediate feedback about how much you’ve spent and what you have left to spend.

– When starting a cash envelope system for basic purchases, start with just a few budget items using cash: food, entertainment, and blow money or spending money.  If you start with a binder full of cash envelopes, you’re gonna lose your mind and hate it.  Start out small and grow from there.

– Set reasonable amounts that you can actually stick to, but that are going to help you move toward the financial goals you’ve set.  If you’ve been spending $600/month on groceries and restaurants, start with a budget of between $500-600 to help you move towards controlling that expense.