Envelope Budget Planner
Try envelope budgeting right in your browser. Create categories, allocate funds, and see how your budget comes together.
Your Envelopes
Budget Summary
Total Allocated
Remaining
Envelopes
What is envelope budgeting?
Envelope budgeting is one of the oldest and most intuitive ways to manage money. The concept is simple: at the start of each month, you divide your income into categories (envelopes) and allocate a specific amount to each one. When an envelope is empty, you stop spending in that category.
Originally, people used physical cash envelopes, literally stuffing bills into labeled envelopes for groceries, rent, entertainment, and so on. The tactile nature of handling real money made overspending feel immediate and real. Today, digital tools like Hearth bring the same discipline to your bank accounts and cards.
The beauty of envelope budgeting is its simplicity. You don't need complex spreadsheets or financial knowledge. You just need to decide how much goes where, then stick to it. It works especially well for couples, because each person can see exactly how much is left in each category. No guesswork, no arguments.
Hearth automates this entire process for you and your partner. Transactions are categorized automatically, envelopes update in real time, and both of you always know where you stand. Try the planner above to get a feel for how it works, then let Hearth do the heavy lifting.
What is envelope budgeting?
Envelope budgeting is one of the oldest and most effective personal finance methods. The idea is simple: allocate your income into named "envelopes" — one for groceries, one for rent, one for dining out — and only spend from each envelope. When it's empty, you stop spending in that category.
Originally done with physical cash envelopes, the method works just as well digitally. Instead of tracking a single account balance, you track individual buckets — which makes overspending obvious and saving intentional.
How to set up your first envelope budget
- 1. Start with your monthly take-home income. Use the take-home pay calculator if you're not sure.
- 2. List your fixed expenses first: rent/mortgage, utilities, insurance, subscriptions.
- 3. Allocate to variable categories: groceries, dining, transport, entertainment.
- 4. Put whatever remains into savings. The goal is to allocate every dollar.
Ready to use envelope budgeting in real life? Download Hearth to share your envelopes with your partner and track expenses together in real time.
Love this? Hearth does it automatically.
Envelope budgeting for couples. Real-time, shared, and effortless.