Understanding Envelope Budgeting

Understanding the Envelope Budget Method

Kualia is fundamentally built on the "envelope" budgeting method. Traditionally, envelope budgeting meant literally putting cash into envelopes labeled for specific purposes—like groceries, rent, or entertainment. Once an envelope was empty, you couldn’t spend any more in that category until you refilled it.

This method is all about being intentional with your money and staying within your limits.

Kualia takes this concept and digitizes it, making your envelopes virtual, so they are easy to track across cashless and cash purchases. At the start of each month, you'll take cash currently available in your accounts (linked through Plaid and manual) and assign it to your categories (think of these like your envelopes).

Throughout the month, just like the Envelope budgeting method you'll spend money pulling from the virtual funding to these categories to pay for expenses!