What does YNAB do that I can't replicate in a spreadsheet?

Kermie

greensalad wrote: »

dcouponzzzz

However, the 'YNAB Way' is to learn to live off last month's pay. That's what you're aiming for. https://www.youneedabudget.com/method/rule-four

So, the way I see this working best is that you have leftover income at the end of the month, and eventually you get to the stage where you have built up leftover income rolling over to the same amount as your monthly income. That might take a few months, maybe even a year, but that's the aim. If you get paid £1500 then you could try to have £150 month leftover every month, for 10 months. Then you would enter the process where you would be living on last month's pay.

I thought I understood YNAB, but this has thrown me! As you need to 'give every penny a job', as YNAB says, does that mean once you have a months buffer you're allocating income from 1st May (for a simple example) into June, rather than giving it a job to do in May?

Dandytf

I'm a 'lazy' ynab.

I quickly got bored 'watching' every penny.

Though the principle of monthly wages paid 28th are for next months mtgs/bills etc. works well

(I never thought like that before) more like what have I got left after being paid.

I've let it run for approx 3 moths and recently 'treated' myself to used ps4 from eBay.

As I've mentioned previously it takes a little self spending control.

What I since do once or twice a month is download statements direct from rbs dig banking.....99% of transactions match my categorised budgeted I can fill in the rest (maybe ciggies or local shop)

The 'spending' trends were a wee shock initially cause I smokec(atm transactions for ciggies) -excellent tool which I have recognised where I can reduce spending)

I ran the trial initially having used the mse budget spreadsheet for yrs(also brill) thinking why should I spend £30.00 ynab. In my case it has made a difference.

Tyrone_Black

I'm watching the introductory seminar now...

Before I started watching this I was thinking further about setting up a spreadsheet. That can easily do the most important thing which is to tell me how much I have and how much I owe, which is especially important to me because I intend to stooze and make interest from the banks pay as much for me as possible. The problem will be if and when I start spending too much again and identifying where it's going. That's where dedicated software would probably help.

crazy_cat_lady

Kermie wrote: »

I thought I understood YNAB, but this has thrown me! As you need to 'give every penny a job', as YNAB says, does that mean once you have a months buffer you're allocating income from 1st May (for a simple example) into June, rather than giving it a job to do in May?

You are giving it a job - it's in the buffer fund. Just because it's been allocated to a job doesn't mean it's been spent.

Kermie

Aha! That makes sense. Thanks Crazy Cat Lady (from one to another!)

Tyrone_Black

Yeah, decided that it looked like too much work for me. Using a much simpler spreadsheet to try to stay on track.

uncreative

YNAB is great when there are 2 of you. Sticking to a budget is all about how easy it is to update it so you dont have to spend a chore hour or 2 updating it. YNAB looks great, does the job and syncs briliantly which is why we use it. Once a month sit down to set the budget for the following month and off you go.

For those trying to forecast - it really is a case of look after the pennies and the pounds will look after themselves. If you budget each month using YNAB you technically don't need to forecast as you are saving the absolute maximum you can each month. A detailed forecast isn't going to change that.

We do a higher level look forward to see any significant things we need to be aware of, but it doesn't, and cant, change the monthly budget. if you are truly honest and save every penny you can in the month, then what good is a detailed forecast?

crazy_cat_lady

I have to say I quite like YNAB so far - I think I'm probably going to find the cash to pay for it.

emg

Definitely worth signing up to the live webinars as you have the chance to win a free copy of ynab. Apparently its about a 1 in 40 chance so worth a try (particularly if you are a night owl as they all seem to be early hours!).

Pixie5740

A feature of YNAB that I like is being able to import my bank statements and have YNAB match them all up with the entries in my budget. I also like reconciling my accounts in YNAB. There's something very satisfying when it all balances.

That said, if you knew what you were doing, you could probably do this yourself in Excel but for the one off licence fee I'm happy to pay YNAB rather than building a spreadsheet myself I do enough of that at work.