The assessment of fees, such as overdraft fees, is one way a bank profits from its account holders. An overdraft occurs when you write a check or swipe your debit card to make a purchase in excess of the amount you have in your account. When this happens, the bank will still allow the transaction to take place, even though you have insufficient funds to cover it. However, you then owe that money to the bank, and they additionally will assess you with a fee for insuring that your payment did not bounce.

Here are five ways to avoid overdrawing your account and incurring these fees:

1. Create a monthly household budget and stick to it. Make a list of your monthly expenses, including rent, utilities, car-related expenses, groceries, medical expenses, etc. Total the amount of these expenses and subtract it from your total monthly income. Most people underestimate their expenses, so you may want to multiply your total expenses by 20% and add this amount to your total expenses as a buffer. If you have money left over, stash it into a savings account for emergencies. If you don’t have enough money, you need to adjust your spending.

2. Balance your checkbook. By keeping a running tally of how much money you have, you will be less likely to overdraw your account. To balance your checkbook, write your current bank balance on the top line of your checkbook register. Add to that amount each time you deposit funds, and subtract from it each time you make a purchase. Make sure to record your debit card purchases in your checkbook register as well. After balancing your checkbook for a few months, you will have a more realistic idea of your monthly expenses, and you may want to re-evaluate your monthly budget.

3. Don’t rely on your available balance. Just because your online bank account balance or ATM receipt shows that you have money in your account doesn’t mean that you do. You may have written a check that hasn’t been cashed yet or perhaps the funds from your direct-deposited paycheck have not posted into your account yet. It is always better to refer to your checkbook register for your actual account balance.

4. Insulate your account with a safety cushion. Set aside a chunk of money to serve as a safety cushion. This cushion can be in any amount but ideally should be no less than $100-200. Subtract this amount from your account balance in your checkbook register as if it were money that you never had and then forget that it’s there. When your checkbook balance starts to get low, reduce your spending; and when it reflects $0, stop spending altogether. You will still have the cushion in your account in case you made a mathematical error while balancing your checkbook or in case someone cashes a check you had forgotten about. Make sure never to borrow from this safety cushion.

5. Research overdraft protection alternatives. Some banks offer overdraft protection as a free service. Others will allow you to connect your checking account to a savings account; if you overdraw your checking account, it will cover the transaction with funds from your savings account. Some banks also offer a line of credit for your checking account if you have good credit. If you overdraw your account, the overdraft amount is financed as if it were a credit card purchase. You will owe interest on the amount borrowed against your line of credit, but this finance charge will most likely be less than the amount of the overdraft fee.