Personal monthly budget - cash or card?

20SmthngSver

Cash. Once you've spent it, that's it. A card you can just keep on using.

MEM62

Spanishsunawaits wrote: »

I have thought about just taking a set amount of cash out of the bank each week and using that, but no benefit from the Cashback. But this will tell me what I am spending.

That's exactly what I do, but at my age I am a dinosaur and the habit probably goes back to the days when I was paid weekly and in cash - as many of us were in the 70's. Cash helps me budget but I am also one of those people that are not comfortable leaving the house without a few quid on my pocket. I take out a set amount per week 'pocket money'. If I want to spend more I can do so but at least when the cash runs out it prompts me to realise that I am spending a little extra that week.

LobsterMemory

Though by taking cash out, you're missing out on both the cashback and the interest gained by leaving the money in the account

MEM62

LobsterMemory wrote: »

Though by taking cash out, you're missing out on both the cashback and the interest gained by leaving the money in the account

Neither reward being generous enough to persuade me to change my habit.

trailingspouse

Cash. Card. Neither of these will stop you spending if that's what you're going to do.

The advantage of using a card is that the statement becomes your spending diary and you can see exactly where it's all gone.

I don't see any advantage to using cash. It's OK to say 'when it's gone it's gone', but really? You need to put fuel in the car but the money's run out, so you ring work and say you can't get in?? I doubt it.



The only way to control the spending is by leaving both the cash and the card in your pocket.

jackieblack

Zero_Sum wrote: »

Heres what you could do, everytime you spend on card transfer money to savings account. Then pay CC bill from savings account.
That way the money is leaving your current account & you get the cashback

This is what I do (except I use a second current account rather than a savings account).
It’s worked for me, for nearly 30 years now