Budget tips

Once you have set up all your envelopes and created a plan for what happens to your paycheck, it's a good idea to pad your envelopes by one or two paychecks, especially the envelopes that are used for paying bills.  For example, if you have an envelope for your electric bill and you put $50 per paycheck into that envelope, it's good to stick $50 or $100 in there to start with.  This enables you to pay your electric bill at any point during the month because you know you will have enough money.  You can pay your electric bill on the 1st, even if you haven't been paid yet.  It also adds some cushion in your checking account, which is always a good thing.

This can be difficult to do on a tight budget.  I did it by saving any extra cash for a couple months, and sticking it in those envelopes.  I only had to do this once (because the padding always stays in those envelopes), and now I am enjoying the freedom that comes from not living paycheck to paycheck.  I can pay the bills at any time, I don't have to worry about whether my paychecks have cleared yet or not.