What is cash stuffing?
Pros/cons of cash stuffing
Pros:
Helps relieve stress relating to financesPrevents unnecessary purchases and overspending Makes budgeting tangible and concrete - helping you stick to your finance goalsHelps you to be more mindful of how you’re spending each month
Cons:
Time-consuming method of budgetingLess protection for your moneyNo interest earned on cashCan be more difficult to pay certain bills, like rent and utilities, with cash instead of online payments with a card
Bottom line
Overall, cash stuffing is a great budgeting option for those who prefer a hands-on approach to managing their money. This method, which is viral on TikTok, helps individuals assess their finances each month by allocating their paycheck between categories. Each category has it’s own envelope, usually organized in a small binder. If you’ve been struggling to maintain a budget, or can’t seem to figure out where your money goes each month, this method could be a life-changer for your finances. If you prefer digital budgeting, check out the best budgeting apps for 2022 (opens in new tab). Next: A new bill in Congress could ban TikTok in the U.S.
