Read our cookies policy.
mossy wrote: »
Happy Birthday Skilly ! :bdaycake:
mossy wrote: »
I am probably not the best person to try to explain this, but so that you don't feel like we're ignoring you, here goes...
You have a 2nd purse which you set a budget for, say for example £50 or £100. And your aim is to get that purse (float) to that figure. I call it a float because this is money you use to buy bargains and so you always want money in there.
When your 2nd purse goes over your set figure, the extra money goes in to a 3rd purse (aka money to save not spend) which you build up and use to buy something special.
Okay you say, but how to I get my 2nd purse to my figure (lets say £100).
Firstly, each month you put an amount in to it, this helps to build up the kitty (float). With the money in your 2nd purse you buy bargains, buy one get one free, 3 for the price of 2, half price etc! You buy things you use, but instead of paying full price for them you wait until they're on offer at the supermarket and you buy a load and put them in a separate stock cupboard (i.e not in your normal cupboards).
When you run out of said item, instead of going to the supermarket and having to pay them full price (how rude!!) you go to your own little stock cupboard and buy it back from yourself. Most people buy it back from themselves at full price. You pay yourself for the item from your normally grocery budget but put the money in to your second purse. It's then in there ready to be used to buy more bargains and so it goes on, or if you've reached your target amount then the surplus gets moved in to the 3rd purse.
The idea basically is, you buy stuff you use when it's on offer at the supermarket, thus giving them less of your money. But when you buy it back from yourself you charge yourself the full price which fundamentally keeps the extra money in your own home rather than giving it to the supermarket. And eventually with the extra money saved and making it's way in to the 3rd purse you get to buy something nice with the money that would otherwise have gone to Mr T or one of his friends!
People normally keep a spreadsheet (I think there's one on this thread somewhere to show you what it looks like) to keep track of what stock they have, how much they paid for it and how much they will charge themselves when they buy it back.
I hope that helps although it's probably as clear as mud....:rotfl::D;)
rosyq wrote: »
Actually mossy I think this is a good way of explaining it
I wish I was organised enough to do it properly cos I don't want to water down mothership's original idea but I know my own limitations!
Essential Money | Who & Where are you? | Work & Benefits | Household and travel | Shopping & Freebies | About MSE | The MoneySavers Arms | Covid-19 & Coronavirus Support