Originally posted on http://momsnetwork.com/workathomeblog/2019/06/02/tactics-to-control-household-finances-with-a-prepaid-debit-card/
It doesn’t matter how much money you have or don’t have, budgeting is essential for any family. To put it simply, there is never enough money to go around. There are many methods on how to save money for specific and daily things, but a way that is becoming more and more popular is sequestering funds with a prepaid debit card.
This tactic, called envelope budgeting, allows you to put money on the card you either don’t want to spend or that you only want to spend. It is a great way to save money and budget for holidays, vacations, and more. Read below to see all the different ways you can budget household finances and take control of your financial well-being.
General Budgeting
The way people need to budget the most is in their day-to-day lives. If you don’t have a lot of money or struggle to manage it properly, using a prepaid card you can load money onto or use as a digital envelope to set aside. Things come up in life, especially when you have a family, and you need to have some sort of savings ready for emergencies. With a prepaid debit card, you can have money ready and eliminate stress.
Control Children’s Spending
Giving your child a prepaid debit card may seem like a bad idea, but it’s actually quite the opposite. Let’s face it, your kids need money for lunch, school supplies, and other things. A prepaid card can provide the independence and responsibility your kids need to learn about money and spending day-to-day. It will not only enable them to save money, it will teach valuable lessons when they overspend. You kids will not be able to overdraft or dip into your savings. Prepaid debit cards can teach children financial responsibility while limit spending.
Finance Groceries
Groceries are an expense for any household, and using a prepaid card to budget weekly and monthly food can help out a lot. There have experiments on this topic and they show that it can be an effective way to do so. It is important to watch for what the fees are. According to the experts at the site MoneyPug, which is used commonly to compare prepaid cards, you can find some extremely cheap or free prepaid debit cards. There is no reason to spend a lot on fees and other charges. By using this method, you can load an allotted amount onto the card for ingredients and use your usual debit, credit, and cash to pay for other expenses.
Save Up for a Vacation
Prepaid cards are not just for people who don’t have enough money, they can be an efficient way to save for non-essential yet enticing purchases. You can use a prepaid card, for example, to budget a vacation. There are a few ways to do this, but perhaps the best option is to load the money onto a prepaid card and take it with you abroad. These prepaid debit cards are a very popular way to avoid fees, withdrawal cash, and take a stress-free trip. Not only will it facilitate your saving for a holiday, it will enable you to spend while you are away.
Set Aside Money for Important Events
Families always run into events that cost money they may not have. Whether it is a positive event like a wedding, a birthday, a religious holiday, or an unfortunate occurrence like a funeral or an accident, prepaid cards can be away to put aside money quickly. When you need cash for something specific, this method will help you avoid using it.
There are many ways to use prepaid cards to save. Think of it as a digital envelope to put away cash or as a place to use it while leaving savings untouched. Whatever your reason for using one of these easy and convenient cards, it will likely help you save, budget, and finance household necessities. With the extra money you have, make rewarding purchases. Try out prepaid cards today. It is unlikely you will be disappointed by how you can save.
