Introduction

Let’s be honest: the word budget usually makes people cringe. It feels restrictive, complicated, and maybe even boring. But here’s the truth — budgeting isn’t about saying no to everything fun; it’s about saying yes to the things that actually matter to you.

Whether you’re trying to pay down debt, save for a big purchase, or just stop wondering where your money disappeared to, these 5 simple budgeting hacks will give you quick wins and long-term results. And the best part? They’re practical and easy enough to start today.

1. The 80/20 Rule for Instant Clarity

Most budgeting guides overwhelm you with 15+ categories. Instead, simplify:

• 80% for needs and wants (housing, food, transportation, fun, etc.)
• 20% for savings and debt payoff

To provide further clarity on debt payoff, it does not include mortgage payments, as those are considered essential; however, it does include car loans, student loans, and credit card debt. While you may not hit the 80/20 every month, it is a goal to achieve. There may be bad months where it may be 100/0, but there may also be good months where it’s 70/30. The goal is to average an 80/20. 

Why it works: The simplicity makes it easy to track, and the savings portion is built in. If you want to get fancier later (with subcategories), you can, but this rule gives you a strong foundation.

2. Automate Like Your Life Depends on It

Set up automatic transfers on payday:

• Into your savings account
• Toward debt (extra payments if possible)
• Into retirement accounts

Why it works: When savings happen automatically, you don’t give yourself the chance to “accidentally” spend that money. It removes decision fatigue and makes good financial habits effortless.

3. Use the “Cash Envelope” Trick (Digital or Physical)

For those of you Dave Ramsey followers, this advice probably sounds familiar–but it works. For problem spending categories (like eating out, coffee, or online shopping), set a firm limit each month. Withdraw the cash or set up a separate “fun money” account and limit yourself to that amount and that amount only. This does require a lot of discipline, as in theory you could always add more money to the pot. By staying disciplined only to spend what’s in the “fun money” account or in the “fun money” envelope, you will find meeting your budget goals a lot easier.

Why it works: Physically seeing the money disappear (or watching the balance drop) creates accountability. When the envelope’s empty, you stop spending — no guilt, no confusion.

4. Track the Big 3 — and Forget the Rest

You don’t need to micromanage every receipt. Instead, focus on the three biggest budget killers and then later, once you manage these three, if you want, add more:

• Housing (rent/mortgage)
• Transportation (car, gas, insurance)
• Food (groceries + dining out)

Why it works: These three categories usually eat up 50–70% of most budgets. Optimizing here (negotiating rent, carpooling, meal prepping) will have a much bigger impact than cutting out your $4 latte (despite what the boomers may say).

5. Give Every Dollar a Job (But Keep It Flexible)

Before the month starts, assign your income to specific categories (bills, savings, fun, etc.). Or, if you prefer, you can use the needs and wants categories from earlier if you want it super simplified. Use a spreadsheet (Excel and Google Sheets have free templates you can use) or apps like YNAB (You Need A Budget) or Mint.

Why it works: You’ll always know where your money is supposed to go, which keeps you from overspending. The trick is flexibility — if you overspend in one category, adjust another. That way, your budget works with you, not against you.

Wrap-Up

Budgeting doesn’t have to be painful — it can actually be empowering. These hacks keep things simple, give you quick wins, and create habits that stick.

This is just Part 1 of our Budgeting Series. In upcoming posts, we’ll explore strategies for tackling debt and creating a budget that adapts to life’s curveballs. Additionally, stay tuned for the Emergency Fund Series if you would like to learn more about saving for life’s curveballs–or as I like to call them, the expected unexpected expenses.

Remember: the best budget isn’t the perfect one on paper — it’s the one you’ll actually use.

– Brendan Tiedeman, CPA