Alright I've heard a lot of people who want to know more about the $20 challenge so here's my attempt to explain how I've approached it. First of all, it is a personal thing, ask 10 different people what they include and how they do it, you will get 10 different answers. The goal is to save money what ever way you do that is ultimately up to you.

Some have done it where you only include new ways of saving money, where, for instance, you wouldn't count the savings from coupons if you have always clipped coupons. Another interpretation is to use that $20 and use it to make money, like buying supplies to make something and sell it. Others reward themselves for doing things like exercising or not eating out by adding money to the challenge.

These are things I personally add to my challenge money:
*Money saved from coupons (I didn't clip coupons before joining this site, so technically it's a "new" savings)

*DH is the money maker in the family, I am currently tutoring part time, since it is extra money and very variable, I add that money to the challenge. If I had a 'real' job I wouldn't add that money.

*I take online surveys and add the money to the challenge (only after I have the check in my hand).

*I added the rebate from the telephone company because if it weren't for me remembering it and filling out the paperwork, we wouldn't have gotten that money.

*I DON'T add change that I find on the ground. That money just gets added to the coin jar.

I keep a running tally on the site of how much I make/save. I don't have a separate account or anything. Actually my savings is mostly virtual. It's either money that I sent to the bank or money that I didn't take out of the bank. Others actually keep their challenge money separate from their normal money (it makes it more real that way).

So ultimately just jump in and start saving! I was very surprised about how much money I saved just doing the little I did...and I've just been doing it a couple of months! Also, don't be afraid to change what the challenge means to you. If you want to try something different or like someones idea, just do it!