If you have the funds to pay it in the same month , add the funds to that category and it will automatically move those funds to your credit cards payment category. Instead, with overspending on a card, the consequence is that there’s no money to move to the payment. I have no problem with credit cards. YNAB. So if it can auto-allocate to Payments for charges, my engineering brain says it should be possible to do the reverse & auto-allocate from Payments back to TBB for statement credits. This will also help keep your reports happy since your spending will be offset by the amount of the return. Written by If you don’t use Rule Three, and cover the overspending, after the month rolls over, that overspending will be represented in the balance of your account. YNAB Cons. Follow YNAB to get support and lots of great ideas on budgeting. Then you spend that money to pay off the card. Follow us for budgeting ideas & support. It’s the amount available in your Credit Card Payments category. For example, many people are faced with the problem of checking the balance or losing the card. You can then move money out of that category if you don't want to spend it there. Watch this video on setting up credit cards in YNAB. I wanna budget for my entire credit card account balance of course, be $500 so there we go account. To quickly determine the answer, ask yourself the following: “Is this inflow to my credit card offsetting an expense that’s in YNAB?”. You can budget them, just like money in your checking account. To quickly determine the answer, ask yourself the following: “Is this inflow to my credit card offsetting an expense that’s in YNAB?” If the answer is yes , because you’ve received a refund from a purchase return, you can categorize that refund right back to the original spending category. You Need a Budget, often referred to as just YNAB, is a premium budgeting app that has a primary mission of helping you get control over your budget and finances. If you have gotten this far, you know you need a budget. If you paid off your card between your original purchase and your refund, you might see that your payment category is short and goes red. So easy, right? November 29, 2016. © Choose To be Budgeted for the category. YNAB will turn that category orange with a little credit card symbol with an exclamation mark next to it, indicating you overspent in that category with your credit card. You don’t want to get lazy during this step. So you had a 0 balance on the card when starting YNAB? But what if you had already budgeted for the entire balance on the card? Now, your Acme credit card balance is $24.03, which is reflected in YNAB. Budget money to your credit card payments category to pay it off. You have $75 you can move to other categories of your choice. Credit cards are the most popular payment method in the world. YNAB has moved the $50 you budgeted for the Internet bill to paying off the credit card. Your credit card balances will automatically be lumped into a category called “Pre-YNAB Debt.” That’s it. In a nutshell, when you start YNAB, you will manually enter your account balances, including credit card balances (the total as of the day you start using YNAB). If you have an outstanding balance on a credit card when you set it up in YNAB, and you plan to pay that in full, you’ll need to budget for it in the Credit Card Payments category. You’ll also see a graph depicting the effect of paying your full available amount. Here is the fundamentals on how credit cards work in YNAB and what you need to know to get it right the first time: The instant you purchase anything with your credit card, you are carrying debt. It's an inflow, so we'll default to categorizing it that way by choosing Inflow: To be Budgeted. Here’s a video explaining how this works. Let's say you owed $475 before receiving a refund for $75—and you already had the full $475 set aside in your Credit Card Payment category. When you overspend from a cash-based account like a checking account, money has left your budget and your accounts. Agree to the Terms of Service and Privacy Policy to continue. Here’s how to do that last one in YNAB. Powered by Help Scout. If you're working to pay down debt, you're that much closer now! The problem is that under the Credit Card Payments Category Group, where my credit card payment budget category is, YNAB said I only owed $701.65 (a difference of $72.01). But that’s okay, you can move that money just like you do any other money in your budget. But it also hides some subtleties balance then the payment category should always match the opposite of the return ’... Be spending less, you can then move money out of that category if you move! When I spend money on a Visa card people are faced with the problem of checking the balance my! 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