This budget is a personal income statement for an individual or household. It is similar to the zero-based budget but a bit simpler. It totals net income from multiple sources minus total estimated expenses equal plus or minus amount.
The Zero-Based budget originates from a business concept where every expense needs justification by a project’s need. This method is number-crunching heaven for those who need more structure in their budget.
This system entails placing exact amounts of cash into envelopes for each monthly expenditure you make, including your fixed costs. Putting money in jars or socks can substitute for envelopes, but I don’t think you want to walk with that.