Use the digital envelope method to control spending. Allocate money to different categories and track your envelope balances.
Envelope budgeting involves allocating specific amounts of money to different spending categories (envelopes). Once an envelope is empty, you stop spending in that category until the next month or transfer money from another envelope.
Yes, you can transfer money between envelopes as needed. For example, if you overspend on groceries but have money left in entertainment, you can move funds. The key is staying within your total budget.
Leftover money can be carried over to next month's envelope, moved to savings, or used to fund a larger purchase. Some people prefer to reset envelopes monthly and put leftovers into savings.