The trend of ‘cash stuffing’ has become viral in younger generations with rising inflation
North Texas (CBSDFW.COM) It’s an old trend that’s getting renewed interest now, called money stuffing.
It is spreading thanks to younger generations looking for creative ways to budget during inflation.
What cash stuffing entails is putting cash into separate envelopes labeled for specific needs like gas, groceries, or rent for easier budgeting.
Texas resident Jasmine Taylor posts TikTok videos sharing how she saves money using this method.
“I just started sharing it and it just took off,” Taylor said.
She started doing this on her 30th birthday as the bills piled up and needed a fix.
“Personally, I use what I call the zero budget, so whatever I get paid for, every dollar I make I give it a place,” Taylor added.
Recently, her views on TikTok have exploded with her channel Baddies and Budgets.
“I think more people are drawn to it because a lot of people are not financially literate, so just having a straightforward way of budgeting in the times we are currently in is more attractive to people,” Taylor said.
Financial experts believe this trend is attractive because of the economic times it has been through.
“People are feeling the pressure that they are seeing their savings dwindle and they are looking for any habits that are getting better,” said Stuart Fields, managing partner at OpenAir Advisers.
Fields sees a lot of benefits from stuffing cash.
“The biggest benefits are not using your credit cards and not getting into more debt or reducing the debt you already carry,” Fields said.
But he warns that not using credit cards can affect your credit score.
Also, keep your money in a safe place.
“Cash can be lost, many homeowners insurance policies can be stolen, and many renters insurance policies do not cover lost money and if they do, it is very minimal,” Fields said.
Taylor makes sure to keep her money in a fireproof safe and once the envelope gets the $1,000, she puts it in the bank.