Many attempts at cash budgeting fail because of unforeseen expenses. The main culprit is the debit card. If using the card makes your account just one penny overdrawn, then you will be charged an overdraft fee of up to $35. The answer is to budget with gift cards.

The first step is to decide how much money you need each month for groceries, gas, medicine, and household goods. This will be your standard amount for each month of the year.

Now look at the upcoming month. Will there be any special expenses such as preparing for a child's birthday party? Add the food for the party to the grocery budget. Do this with each expense.

If there is not enough money after adding the additional expenses, then look for ways to trim each category. There is some good advice on cutting expenses in one of my articles, "How To Live On One Income".

If you shop at one grocery store most of the time, then buy enough gift cards for the month. For example, if you have budgeted $75 a week for food, then buy 4 gift cards for $75 dollars each.

Take only one of the cards with you when you go shopping. You will be surprised at the junk food you don't put in the basket when you cannot go over budget. You will eat healthier and save money at the same time. You can extend the budget with coupons and rebates. Note: If you are like many people and shop the specials at 2 grocery stores, then buy gift cards for both with $50 toward the main grocery and $25 toward the other store.

Keep extra money on the gift card for the gas station to cover any emergency repairs. If you have repairs done elsewhere, such as at Sears, then buy a gift card to Sears and add a few dollars to it each payday. Soon you will have enough for new tires or an oil change, etc. This method will prevent going over-budget when the car breaks down.

Prescriptions which are a recurring expense should be planned in advance. If you do other shopping at the pharmacy, such as household goods, then buy a gift card for slightly more than the cost of the medicine. Add money to the gift card each week and there will be enough to pay for the prescription at the end of the month.

Once you learn how to budget with gift cards, you will not have to worry about not having money to pay a bill or to buy food. There will be no overdraft charges, no late charges, no finance charges, and no bill collectors.

Nothing equals the feeling of waking up in the morning knowing that you are debt-free. Budgeting with gift cards will enable you to save money and become financially secure since you will only be spending money which you have already earned.

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