Pitchers method - an effective system of doing your budget

Today we want to tell you about an efficient system of keeping the budget - Methods of pitchers. Its meaning is that every month you allocate the money in six jars, each designed for specific expenses. This method will help you spend your money wisely and only for what is really needed.

Pitcher 1: costs for basic necessities (55% of your budget)

Money lying in the jug, intended for the daily needs on the costs and to pay bills. This includes the following: payment for rent, mortgage, utilities, food, transportation, clothes, spending on health care, taxes and so on.

Jug 2: entertainment expenses (10% of your budget)

Money from this jar can be spent on something to pamper yourself. You can buy an expensive bottle of wine, have a massage or buy movie tickets, theater and so on. The money you can dispose of as you wish.

Jug 3: savings (10% of your budget)

This is your personal "gold reserves", the key to financial independence. Money that are in this jar should be used for investments, they provide you generate passive income. You do not have to spend the money as long until you get a return on your investment. But even in this case, you spend not the "gold reserves", namely the money that it brings you.

Jug 4: expenditure on education (10% of your budget)

Money from this jug should spend on study costs, as well as self-education. Invest in their development. You yourself - it is your most valuable attachment, never forget that.

You can spend the money on books, course fees - in short, for everything that will help you develop your skills and abilities.

Jug 5: reserve fund (10% of your budget)

In this jar, you save up for major expenses, such as appliances, cars, holidays and so on. It is necessary to fill up every month this pitcher as he pledge your financial stability and confidence in the future.

Jug 6: on gifts and charitable contributions (5% of your budget)

Use the money from this jug on gifts to loved ones or to charity. You can donate money to children's home, a shelter for animals or simply to help the needy.