by Hope
Beginning next month, March 1, I have officially decided to operate on a cash only basis. I will be working this month to prepare for this really big change.
Getting Ready
Last month I moved my LLC from GA to TX. I’ve got to finalize the legalities of that move. New EIN, new business bank accounts and so on and so forth. I’ll be closing my one and only business credit card account this month.
As a security measure, I will have one personal and one business checking account with no debit card, no ties to any 3rd party accounts (Venmo, CashApp, Paypal, etc.), essentially as isolated as I can make it. Then I’ll alternate accounts for debit and 3rd party transactions. I’m hoping this will prevent my primary cash accounts from ever being compromised.
Because I’ve been operating like this with my personal accounts for some time, or rather, had two accounts already that I used for different functions and had existing debit cards and scheduled transactions, I will set up a 3rd checking account that will become my primary/isolated account.
Auto Transactions
Next, I will be working through my existing budget and transferring all my auto-pays and subscriptions to the appropriate account debit card – personal or professional. I’ll have to be eagle eyed on my accounts to make sure I don’t overdraw anything. But I know I can do this.
Big Move
This is a HUGE shift for me. If I don’t have the cash, I can’t do it, buy it, spend it. There is no more…I’ll pay it when I get my next paycheck. There is no more just spending with no immediate consequence.
I’m also working on a brand new budget. I fully intend to, like Proverbs says…pursue a debt free life with Gazelle intensity.
And with this new budget, I will actually be using some actual paper cash. At least that’s the goal. But then I started to worry about all these places that are now “cash free”.
But never fear “Apple Cash” to the rescue. I’m going to fund my “Apple Cash” from my checking account. That will still allow me to use the convenience and security of the tap, but I think it will also allow me to feel the PAIN of spending.
My thought is if I only fund it once a month…gas money, fun money, etc. then I will hesitate more to spend because I know when it’s gone, it’s gone.
This is a work in progress. But it’s scary and a going to be a BIG MINDSET change for me. HUGE.
Hope is a resourceful, solutions-driven online business manager with over two decades of experience helping clients streamline operations, manage projects, and grow their businesses through digital marketing and technology.
But life has a way of rewriting your plans.
A year ago, Hope made the decision to move in with her aging parents full time – a season she wouldn’t trade, even as it came with its own financial and emotional weight. Earlier this year, she lost her mother, and is now walking the tender, disorienting path of grief while learning what “forward” looks like from here.
Hope came to the Blogging Away Debt community in 2015 as a single mom raising five foster and adoptive children. She’s written through job changes, financial setbacks, and the bittersweet transition to an empty nest. Her kids are finding their footing in the world now – and so is she.
Rooted in faith and fueled by the same perseverance she’s brought to every hard season, Hope is ready to face her finances with fresh eyes and an honest pen. She believes that clarity, courage, and community can change the trajectory of anyone’s story including her own.
She lives in Austin, TX with her dad, loves adventures with her dog Addie, and is figuring out, one step at a time, what this next chapter is meant to be.
Thank you for writing this post yourself, and not using AI. Yes we can tell, and no, it’s not a compliment. I’m curious to see how this bold measure works! I’m hopeful, I can definitely see how it would force one to be more intentional about their spending. Keep us posted!
This sounds very positive, Hope! But this is where the rubber meets the road – sticking to it, even when the “emergencies” undoubtedly pop up. Which they will. What will you do if there is (God forbid) a big health issue, or your car needs a massive repair?
I do have a sinking fund for car stuff. In fact, moved $100 to it this past week.
That was all in the budget I created last spring when the house sold.
This is a good start, although I think a business owner should have a business credit card. Aside from that, you comment that you are planning a new budget. But the issue is you have never really had a true budget, you “forecast” and move things around to be able to spend whatever you want but move it to a different pile. A true budget show what you ACTUALLY took in for a time frame and what your ACTUAL expenses are for that time frame. And you don’t spend more than what your budget allows, it is hard dollars based on actual numbers, not assumptions and guess work. IE-grocery budget is $300/month. You have $300 that month for groceries.
Hope, I applaud you for taking this step. But why aren’t you starting NOW? By putting it off until March, you are allowing yourself to feel good about the step you say you will take instead of doing the hard work of actually taking the step. There’s no reason that you can’t start using a cash based envelope system today.
I am already cash only. But it does take some time to move all the auto-pays and such.
So by Mar 1, all that will be complete. I thought I had got them all moved to the appropriate business or personal account, then surprise, another auto-pay.
This is a step in the right direction for you Hope. I’m glad to see it.
Does Dave Ramsey speak to how to break patterns? This would be really helpful as you embark on this.
True. I’m only about 1/2 way through the class now. So I’ll circle back with an answer to this when the course is complete.