You may even want to use your crisis fund for bills or expenses that you know will be due in future. A few examples of this could be school clothes for kids, insurance payments that are due every three, six or twelve months or even a balloon payment on your mortgage.

One of major reasons to have a crisis fund is to prevent use of credit cards. All of purchases you would make with a credit card could be made out of your crisis fund. With average credit card interest being 18% or more, just having cash available could save you hundreds of dollars a year.

If you don't think you have money for a savings of any kind you might want to think about ways of cutting back on something else to creat a crisis fund. If money is extremely tight, you will probably have to put off starting a long term savings.

Even putting $5 or $10 a payday away will help when you need it.

Mom is assigned as budget keeper and keeps $355. Out of this money she is responsible for buying groceries, health items, cleaning supplies, families clothing, school lunches, pay paper boy and other expenses around house. Mom takes $50 out of this money for herself that she doesn't have to account to anyone else in family for.

Mom gives dad $100 of which he is responsible for paying for his expenses to get back and forth to work including car gas. Dad can use $50 of his money that he doesn't have to account to anyone else in family for.

Mom gives each of three kids an allowance of $15. This money can be used any way they choose.

By sorting your money this way, each member in family can keep money in their wallet and all of responsibilities are covered. No, you won't know exactly how much you spend each month on groceries, car gas, etc. The main point of a simple budget is to make sure you have money to pay everything without hassles like sorting your money into envelopes and accounting for every penny.

Mom, as budget keeper, would also be responsible for keeping budget, paying bills and depositing money in their savings. This does seem like a lot of responsibility for just one person in family but, to ensure that their finances are organized and everything is covered, it is absolutely necessary. It is also important to make sure dad knows how mom is handling things so that he can step in if need arises.

While developing your budget using Budget Worksheet you will know what your household expenses are. Simply take that list and assign it to a member of family along with money to cover it. If you run into problems and somethings aren't being paid, you will probably have to review your budget and reassign these responsibilities.