Woman on a tight budget shares genius ‘envelope’ trick that will save you thousands in 2021
A WOMAN on a tight budget has revealed her genius “envelope” trick which could save you thousands in 2021.
The Australian woman wrote a list of the expenses she had for the coming year, such as car costs, insurance, clothes and food shopping.
Then she made an envelope for each of the expenses, and she calculated how much they would come to each fortnight.
So for each annual total, she divided the figure by 26 for the front of the envelope so it was in manageable chunks to save.
This left her with a total fortnightly cost of AU$62 (£35).
On her clothes and Christmas envelope, for example, she had allowed herself just $20 (£11.29) per fortnight.
When it comes to payday, she puts the amount she needs into the envelope and saves the rest in her bank account.
This organised method not only ensures she pays her bills, but also leaves her with $4,000 (£2,258) in annual bank savings too.
Her post has proved highly popular with those on a budget, and many people thanked her for sharing.
Some said they do a similar tactic, but instead use separate bank accounts to avoid having so much cash at home.
One said they had been doing the trick for years, and another said the saving method had helped her get a house deposit.
Most read in Fabulous
Meanwhile, a savvy mum shares envelope hack for saving £5,050 in less than half a year.
And we shared how to save £5,200 and pay for next year’s holiday with the 52-week money saving challenge.
Alternatively, save £1,500 in 12 months with the 365 day challenge.