A multi-account approach to money from Budget Boot Camp.
A modern from of Envelope Budgeting utilizing separate accounts for holding your money for various purposes. You use each account for each purpose. If the account is too low to buy the thing in that category, you don’t buy it. This ties into the NYMO method of Budgeting, which is also a Jordan Page Budget Boot Camp original.
Accounts:
- Family Savings - 10%
- for your Emergency Fund
- if you hit your emergency fund target, you can shift more to long-term savings (e.g Roth IRAs)
- Emergency Savings - 20%
- long-term storage
- out of sight, out of mind
- seems like this should mostly be for IRAs and stuff?
- Health Savings - “enough to cover medical expenses”
- HSA - magical medical fun money
- Family Checking - remainder of pay
- Bills come from here (i.e. “Necessary” from NYMO)
- Additional money from this, not spent on Necessary can go to Family Savings
- Yours - covers ‘yours’ budget
- Not for bills
- For the standard NYMO budgets for ‘Yours’
- Leftover goes to Slush Fund
- Mine - covers ‘mine’ budget
- (Same notes as ‘yours’)
- Slush Fund - the extra, unspent funds
- Fun money
- Savings goals for the family (vacation, trampoline, etc)
Optional “Beyond” Accounts
- Kids checking/savings