Here's what works for me...
I put enough money in my main account to cover my bills, gas, savings, debt payments and infrequent but regular expenses like Christmas (annual), brakes (every 2.5 years), tires (every 3 years), dentist (4 times a year), vet (annual), etc. when I get paid (semi-monthly). These are the only things I ever pay out of my checking account. I get a certain amount of cash for other expenses like groceries, haircuts, coffee, laundry, makeup, clothes, TP, cat food and litter, ect. and I don't keep track of these. I pay cash and if I run out, I have to be more careful and maybe eat frozen mystery leftovers until my next check (or use that face powder I didn't really like and threw in a drawer). If there is any extra between the bills and budgeted cash (as my paychecks vary as much as 10%) I throw it at a debt I'm keen on paying. I'm looking at you, overdue tuition from summer!
For the non-cash expenses that I do track, I use Quickbooks and the cash is treated as an owner's draw. I track my finances using the accrual method and run my money like a business just for fun. I had to buy the software for college, so I use it to keep up my skills
So, I guess the short answer is that I don't track all of my expenses, just the ones I can reasonably budget. I probably only record 10 expenditures a month plus savings tranfers.