I think that cash-only is the best for those who have never been on a budget, like the original poster. In my opinion, there is no way to control your spending when you have husband and wife spending on a credit card all month. Then you go over the statement at the end of the month (which OP admits is not her strong suit) and try to cut down for next month? It seems a little backward to me.
There is also the psychological advantage of cash. You feel the pain of spending a lot more with cash. Swiping a credit card for $54 is just so much easier than counting out all those bills. It really does make a difference. Studies have shown that you spent a significant percentage more when using a credit card over paying with cash.
For those that have been on a budget for awhile and have predictable spending patterns I think credit cards are perfectly fine. But for those just getting started, cash is the way to go, IMO.
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