100 Envelope Problem (with Free Printable!)

What would you do with $5,050? Examine an unique locale off of your journey bucket listing? Dive into your curiosity about investing? Free your self of bank card debt? Put a hefty downpayment on a automotive? Bask within the consolation of getting a candy little emergency fund in your financial savings account? The probabilities are limitless, however there’s some actual alternative to attain your monetary objectives!

There are numerous tempting choices accessible when you’ve got a pleasant nest egg put aside, however constructing the nest is the difficult half. Saving cash often isn’t practically as a lot enjoyable as non-essential spending, however the 100 Envelope Problem places a novel twist on plumping up your piggy financial institution with some additional money.

Would you slightly watch than learn? Study extra concerning the money stuffing saving problem on Heard it From Hannah

What’s the 100 Envelope Problem?

The 100 Envelope Cash Saving Problem (often known as the Money Stuffing Saving Problem) is a enjoyable private finance trick that’s been going viral on TikTok and past.

It’s only a approach to economize, actually, however the technique used makes it extra like a recreation. Right here’s the way it’s completed:

Step One:

Purchase 100 Envelopes (This half price Hannah $10.49, for the file.)

Step Two:

Label every envelope with a quantity between one and 100.

Step Three:

Shuffle/combine/rearrange your envelopes and toss all of them right into a shoebox. Or an Amazon field. No matter type of field.

Step 4:

Draw two random envelopes from the field initially of every week. That quantity on the entrance? That’s the greenback quantity you’re going to stay inside and you’ve got all week to do it. Perhaps you’ll simply take that amount of money out of your checking account, or perhaps you’ll work a little bit more durable to cut back your bills by that quantity for the week (bye-bye, Dominos, whats up DiGiornos), or maybe you’ll submit stuff you don’t want on Fb Market—make “discovering” the cash a part of the enjoyable.

Step 5:

When you’ve stuffed that week’s envelopes, colour in a coin on YNAB’s free 100 Envelope Problem Printable Tracker. (You possibly can additionally create a 1-100 guidelines on a sheet of paper in case you are averse to useful and cute printable worksheets. Or in case your printer is uncooperative; it occurs.)

Obtain the 100 Envelope Problem Printable Tracker beneath:

Step Six:

Place your full money envelopes in a second field, envelope, protected, or underwear drawer.

Step Seven:

Proceed every week. On the finish of the problem, you’ll have 50 stuffed envelopes containing a grand whole of $5,050. That’s a pleasant amount of cash!

Ideas for making the 100 Envelope Problem Work

Now, clearly, some weeks are going to be simpler than others. For those who pull out envelope quantity 92 and 99, you may surprise why you ever thought this was a good suggestion. And also you may make an “uh-oh” face and drop one again into the field with a purpose to select one other one, like Hannah does within the video. Nobody will know. Until you make a video of your self doing that.

But when your luck runs the opposite approach and also you pull two simple quantities, think about going into “knowledgeable mode” and pull a 3rd envelope, for those who can.

Additionally, this problem has you ending the problem in 50 weeks when completed as deliberate. Since there are 52 weeks in a yr, you’ve got two weeks of wiggle room—you can put an envelope again within the field on per week the place you possibly can’t fill it, or take per week off for trip. It’s okay to make this a 52-week cash problem as a substitute!

No Envelope Problem Variation

Now, I do know a few of you might be on the market pondering, “I don’t wish to cope with weekly journeys to the ATM or shopping for a bunch of envelopes.” (I do know that since you are my individuals. This plan would final two weeks at finest for me, as-is.) However that doesn’t imply that you just don’t wish to avoid wasting extra cash. Listed below are two methods to do that digitally through the use of a budgeting app like YNAB:

Choice 1: Create a class group known as “100 Envelope Financial savings Problem” after which create 100 classes labeled one by way of 100.

(Don’t fear, you possibly can collapse the classes utilizing the arrow subsequent to the class group title.)

Label 100 slips of paper with numbers on them and choose two per week to resolve which of your digital “envelopes” to assign with the corresponding amount of money. For those who’re afraid that you just’ll dip into your financial savings, “conceal” your class when you fund it by clicking on the class title and deciding on “conceal.”

Choice 2: For those who choose a extra minimalist strategy, you possibly can create one “Financial savings Plan Problem” class and set a $5,050 financial savings objective with a due date 50 weeks out and use slips of paper to resolve how a lot to assign to your class every week.

The draw back right here is that you’ll have to ignore the reminder to save lots of “x” quantity per thirty days to succeed in your goal since your financial savings quantities might be inconsistent.

Irrespective of the way you make it occur, an additional $5,050 is some huge cash and honing your financial savings habits is all the time an excellent thought. For those who’re in search of extra problem concepts that can assist enhance your monetary state of affairs, try our Extra Cash Problem. It’s solely 30 days, there are not any envelopes concerned, and it’s free.

And whilst you’re on a roll with constructing higher cash habits, think about giving YNAB a attempt for 34 free days! There’s no dedication or bank card concerned, and it’s an effective way to carry extra consciousness to your spending and saving habits.