Friday, July 13, 2012

D.I.Y : Cash Organizer/Cash Envelopes

Like I promised in my previous post here..
I'm sharing how I did my cash organizer..
Forewarning, I'm not blessed with artsy hands..
Please bear with my novice attempts to make my own envelopes.. :)

I've selected my own wrapping papers that I've bought at Daiso at RM5 for 3.

Then, I used a real envelope with the size that I've desired. I've separated the flaps and used it as my template

I'm sacrificing you my pretty envelope. T_T
It is advisable to use a recycled envelope. Since I don't have one, I have to make do with what I have in my room.

Then, I traced my pretty wrapping papers and cut them.

Then, I proceeded to the next step which paper folding. I used a ruler to make a crisp folds.
Then I glued the side flaps, leaving the upper flap alone and here is the finished product.
And here, I made a mistake *sorry!*..I glued the wrong flaps!! It was supposed to look like this.
Did you guys see my mistakes??
I only noticed this when I have finished glueing all my envelopes. Talk about novice! Hahaha..
Then I took my Bregata refillable notebook and took out the removable papers.
Then, I took one of the paper and used the holes as the template on my envelopes so that they matched up. Using a puncher, I punched the holes.
I clipped them into my organizer and added some papers that I have removed earlier as my spending notes.
I used the clear cover sheet as the separator from the envelopes and the papernotes.
For labelling, I used Microsoft Words *because I'm Photoshop noob!*, printed them and cut them all. Then I glued the labels onto the respective envelopes.
Tadaah!! My cash organizer project is finished! Easy right? Even an art noob like me nailed it *ok ok, with a bit of incident..the distorted envelopes.. >__<*
If you want the envelopes to be inserted into your wallet, you can visit here.
My purse is not suitable to use this method as my purse is a 3-folds purse.
Try it!

Managing My Cash: Cash Envelope System

Today's post is quite lengthy and serious..
Don't bother to read it if you're not interested.
When it comes to budgeting, I've always have a weak heart..
I always overspend..
So when I've started my part-time job last year, I have to develop a system so that I don't overspend and I want to manage my spending wisely..
Without depending on my parents anymore..
So I adopted a cash envelope system..
Everytime during my paycheck, I will divide all my money into separate envelopes according to the necessity..
In 2009, Dave Ramsey also proposed this system..
But honestly, I don't even know him back then..
It is a system I picked up from my mother..
She is really good at budgeting..

I have been doing this system for more than a year and it works really well for me..
And I want to share it.

1. I categorized my spending i.e petrol, daily, rental etc.
2. Before my payday, I roughly estimated my earning and started budgeting. If I earn more than I've expected, the extra will go into my saving envelope and my miscellaneous envelope.
3. During payday, I divided my cash and filled them into the allocated labelled envelopes.
4. I never tempted to use the cash that I've alotted for other necessity. Once I've spent my cash for a given envelope, I will not touch the others unless it is for emergency.

Here are my budget lists/categories for a rough idea:

Parking - My work requires daily parking fee, so I count the cash I need for parking
Example: RM3 x 30 days = RM90
So, any leftovers from this will go into my alotted funds

Daily - It's actually my daily meals money. But putting food as a category makes me look like a glutton so I change it into 'Daily' so it looks more sophisticated. Hahahaha..

Rental - need explain eh? >__< 

I.O.U - During my economic crunch *I have my economic crunch??haha*, I have borrowed a lot from my friends and family. It is not something that I'm proud of. So I've started to pay them back slowly, one by one.

Miscellaneous - Toilettries, contact lenses, clothing etc.

Tuition Fees - Now that my scholarship has ended, I have to self-finance my master degree now. So I alotted some for my fees.

Saving - Not much but at least I did some saving

Funds - This is what I'm talking about earlier. Everytime I have leftovers from any of the categories, I will put them into this envelope. Right now, I need a new laptop, so I'm saving this to buy a laptop. :)

Petrol - I own a car and I drive to work, so it is important.

Transition of my Cash Envelope System

This is the exciting part for me. First, I used money envelopes that I got for free from the banks
Then, I've spiced up my envelopes by buying kitchy envelopes from Daiso.

Then, after browsing the net, I've found a way to make my own cash envelopes!!

I made the envelopes from scratch! I will show you in my next post.I'm quite proud of them even though they were a bit distorted..Hahaha..What to do. I'm not really artsy.. ;p
And I improvised it by using an organizer and added some blank papers for me to write down my spending. *You know, to trace them back, just in case.* And tadaaaah! My own cash organizer.

Have any of you done this system?
How do you find it?
Share it with me!