Track Variable Spending With the
One of the best old-school methods of keeping track of your variable expenses is the Envelope System. It requires you to use cash for many of your expenses, which can
be inconvenient at times, especially as more of our shopping moves online. But if it helps you to control your spending, then the inconvenience is worth it. Kate and I used the Envelope System when we were first married. Here's how it works:
Withdraw enough cash to cover your variable expenses like groceries and entertainment. Get some regular ol' mailing envelopes and label them
"Groceries" or "Entertainment" or
"Gas." Put the amount of money you've budgeted for each of those categories into its respective envelope. You can only use the money in the envelope when making purchases for that category. When the money runs out, you're done spending in that category for the month.