Pretty Cash Envelopes...the Dave Ramsey Way!

My husband and I have been married for 29 years.  And thankfully he had a plan for how to manage our finances when we got married.  The envelope system!  I think he learned it from the late Larry Burkett, back in the early 80s.  The man who teaches this concept world-wide today is the one and only Dave Ramsey.  It has worked GREAT for us all these years.

The gist is that you put cash in labeled envelopes for as many categories as you practically can.  The grocery money has an envelope, and when the cash is gone...you stop spending til the next payday.  I must admit we sometimes rob another envelope alittle bit if something has depleted the food cash and we need milk and apples for the next few days.  But overall, that's the way the system works.  But as you can see, the envelopes get pretty tawdry over time.

They are in and out of my purse, the car, hubby's pocket, etc.  So within a month, they start looking kind of bad.  I used to be a bit embarrassed when I'd take them out of my purse to pay for something at the store.  I wondered, years ago, if people though I was too poor to have a wallet!  Ha!  But now, nearly every time I use them at a store, the clerk says, "Do you use the envelope method?  I've been wanting to try that!"

So...this week the sewing bug hit me.  And I have lots of cute little pieces of fabric that I wanted to use to make something practical.  I have to thank the cute little gal blogger at Just Imagine Heaven who created this great tutorial for making fabric money envelopes, for use with the cash envelope system.  It was perfect for my stash of cute fabric AND perfect for fixing the grubby envelope problem.

And here are the ones I've made so far.

Strawberry fabric for the Grocery envelope.  (Ok, so when my husband goes to the grocery store for me, I imagine he'll pull out some cash and leave the strawberry envelope in the car...ha!)

This red and white gingham is sort of festive, so I am deeming it the Gifts Cash envelope.

This cute sewing themed fabric will hold my Etsy shop cash, for when I need to buy supplies.

My attempt at a 'manly' envelope for Hubby...for the Home Maintenance Cash.  Denim and red flannel...I think he'll go for that.

This cutie pie is for the Misc Cash...that's what we call the cash we use for paper products, photo processing, toiletries, cleaning supplies, a magazine, etc.  

LOVE this vintage style fabric!

Classy aqua and white prints for the Clothing envelope.  I should mention that I plan to buy iron-on laundry labels in white and create a label for the front of each envelope.  That's on tomorrow's to-do list.

And now to fill them!  One thing I LOVE about the envelope system is that it gives me permission to buy clothes for me or my guys when there is money in the envelope!  There is alot of freedom in budgeting and designating your dollars when you get paid.

The envelope system also gives you an immediate place to put receipts from those purchases.  My Etsy envelope will hang on to Post Office receipts for me til I get them filed.

Hey!  Let's go to Home Depot!  I should say that this is just for things like paint, landscaping, new door seals, etc.  We have bank accounts that would take care of big maintenance needs for our home.  When we were young and poor, we only had about $25 a month to put toward home maintenance.  But it built the habit in us, and that was invaluable.

The Gift envelope is a HUGE help.  We put a set amount in it each month, and whatever is not spent that month, stays there to be added to the next month's allotment.  When birthdays and Christmas come, we are very thankful to have this stash of cash, ready to use.

I still need to sew envelopes for Eat Out, Haircuts, Dog Care, Gasoline (a friend suggested a duct tape envelope for hubby for that!  Perfect!), and Extra.  Extra is that envelope that covers things that pop up now and then such as a new coffee pot or park district soccer fees.

Do any of you use the envelope method?  If you've always wanted to try it, you can start slow...maybe with just a Grocery, Gas, and Eat Out envelope.  Go to Dave Ramsey's website for lots of encouragement on how to Live Like No One Else So You Can Live Like No One Else!  
Blessings,

Donna