One Dollar Bill
by Mia Cronan
10 Reasons to Use a Cash-Only Spending Plan
Uncontrolled Spending? Ditch the Card for Cash
Can you imagine a society that used only dollar bills for payment of goods and services? No five dollar bills, no tens, no twenties, and nothing higher than that? This society wouldn't use credit cards or debit cards, either.
You go to the store, and your grocery bill comes to $127.00. You have to count out $127.00 in one-dollar bills. That can get tedious! How about buying a $17,000 automobile? Whew! You'll be counting and double-checking for a long time, and so will the salesperson (probably driving up the price of automobiles, as well, since the dealership would have to hire more people to handle the money).
What is my point here? We've made it very simple and easy to spend money. Credit cards are so easy! Checkbooks are so simple. Standing in line counting out several hundred dollars worth of singles when buying a new television would be painful for everyone.
I believe that our spending habits would be greatly altered if we didn't have such efficient means of getting rid of our funds. However, it's not too late to teach our children how to look at spending in those terms. My advice?
- If you give your kids an allowance, give it to them in single bills.
- If you send your child out for new basketball shoes, give him the money in singles.
- When you buy things from your child for his fundraisers at school, pay her in singles.
- Let your children "pay" at the grocery store, but give them singles to count out, so that they know exactly how much they're spending.
Counting it out takes work. It also forces kids to think more about what they're spending. It's not just a number; it's an amount. It's a quantifiable sum of money. Chances are that forcing them to think more about how much they're spending will encourage them to be wise and think long and hard about how they use their money!
Debt from my past is preventing me from saving for my future! Tell us: Yes, debt is hindering my ability to save! or No, debt is not a problem but I am trying to get ahead financially!
Mia Cronan is a married full-time mother of three girls, ages 5, 3, and 1, living in Pennsylvania.
Share your thoughts about this article with the editor. Just Click Here and tell us what's on your mind.
More Money Tips & Tools
- 10 places to look for $500 in savings
- 9 savvy strategies to save for a rainy-day fund
- 5 big bills you can cut fast
- Money-saving secrets of the rich and frugal
- Operation is a game...medical expenses shouldn't be
- Calculating how much life insurance you need
- How having a plan can be the key to financial success