Zero based budget – What is it?


When you are budgeting I like to use a zero based budget. This kind of budget assigns a job to every penny. And if you are anything like me, who at times have problems with seeing money in your account that is just sitting there. Move the money to where it is going as soon as possible. Otherwise it could begin to slip through your fingers.

With a zero based budget you take the money coming in an decide where it is going, like weekly spending, savings or to bills.

I like this budget and use it, because if I were to leave money in my regular account I would think that I could just spend it. So when money comes into my account I first pay the bills that are needed to be paid, even if this is only paying a portion of the bill. I send the money I am savings straight to my savings account. And then I take the cash out to fill my cash envelopes.