While "balancing your checkbook" may seem like a thing of the past, the principles behind this time-honored tradition are as valid as ever. In fact, as America (hopefully) returns to some semblance of financial responsibility, what's old may soon become new again.

Keep Good Checking Account Records

The key to managing a checking account is keeping a good record of expenses. When you use a bank ledger to write down every amount that comes out of your checking account, and note where the money was spent, it creates a spirit of consciousness. You will know how you are spending your money and you may even spend less.

But let's face it, not everyone is going to write down every purchase on a piece of paper. Life moves fast. If you are one of those people who has given up on that level of consciousness, develop your own system. Make a note of purchases over a certain amount. Or group smaller purchases into one note. The point is the same: know how you're spending your money.

Most importantly, work to keep a cushion in your checking account. Sure, stuff happens, but as a general idea, don't cut it too close. Overdraft fees can be $25 per incident or more.

You've Got the Technology

Today, there are a lot more tools available than just a pens and paper. Online checking accounts give you instant access to your balance and spending records. That's big.

You can also set up regular payments for recurring bills, withdrawing directly from your checking account on a predetermined schedule. And you can set up alerts to tell you when bills are due; the bank will send you an email or even a text message to your cell phone. And you can run detailed reports on how and where you are spending your money. With that information in hand, you can make appropriate adjustments.

But as much as technology can help you manage your checking account, it can also help you mismanage it. For example, you set up a recurring bill payment, but you forgot that you had to buy new tires for the car. You forgot, and came up short. Understandable--but not cheap.

Technology can generally make people feel as if they can go on cruise control and let the computer do the work for them. This attitude is detrimental to proper money management. Remember, you'll be on the hook for the overdraft fees, not your computer.

You're Officially Smart

Learning how to manage a checking account is an integral part of overall financial intelligence. If you can keep good records on your checking account, you can keep good records for your own business. If you can show the discipline to maintain a cushion in your checking account, you can show the discipline to save for a prosperous retirement. If you can manage your checking account, you can manage your money.