Envelope budgeting: summarize and explain.© BrainMass Inc. brainmass.com October 2, 2020, 5:13 am ad1c9bdddf
Summarizing the process of envelope budgeting. And evaluate whether you think you would benefit from envelope budgeting. What do you think are its strengths and weaknesses relative to your situation?
The process of envelope budgeting is to allocate money to different categories, putting money in various envelopes based upon the pre-determined budget. At the time a purchase is desired or needed; one goes to the specified envelope and takes out the required sum. In the event there is not enough money in the envelope, one must decide if he will not make the purchase, re-allocate money from other envelopes or delay the purchase. Re-allocating money from one envelope to the other results in a sacrifice being made at a later time. In the event there is extra money at month's end, ...
This solution summarizes the process of envelope budgeting, and evaluates whether it benefits one to use envelope budgeting. It also talks about strengths and weaknesses. Includes APA formatting.