The envelope system has been approximately for a long time and has helped many people take control of their finances. But can it help anyone, or does it rely on certain personality traits that not everyone has? The short answer is yes; anyone can use the envelope system to manage their money. However, there is a longer answer worth exploring. First, what is the envelope system? Dave Ramsey popularized this method of managing your finances in his book The Total Money Makeover. It involves taking cash out of your bank account every pay period and dividing it into

envelopes labeled with different spending categories: groceries, gas, clothing, eating out, etc. When you run out of money in a specific envelope, that’s it — you can’t buy anything else in that category until next month.

There are advantages to using this system:

It’s simple and easy to use. You don’t have to have any accounting background or be a math whiz to figure out how much cash you need for each category. Put in as much as you think you’ll need for the pay period, and that’s it.

It keeps you from overspending. When your cash runs out in a particular category, you have no choice but to stop spending.