Known as zero-based budgeting, this method is similar to running a business, where you account for every penny that comes in and goes out of your current account. “Instead of applying a percentage increase to a department’s budget, zero-based budgeting requires that every existing and new expense be individually justified. It is considered a more rigorous, albeit time-consuming, method of controlling expenses.”Here, Telegraph Money explains how zero-based budgeting works and how it could boost your saving and spending. What is zero-based budgeting? Unlike other methods, such as the popular 50/30/20 rule that splits your spending between needs, wants and savings, zero-based budgeting has wider categories.