How do yall deal with credit card cashback "accounts"

Heyall, I have a couple credit cards that offer cashback. my favorite is citibank at 2% for everything. It gives 1% when you buy something and 1% when you pay it off. How do others deal with the "cashback" part of the account. In the old desktop ynab i had a cashback account set up for each credit card, so i could track what was available if I wanted to actually cash it in.... I can also see just leaving the credit card account as is, then when the cashback is applied, just marking it as income from citibank to be budgeted without an account. How do you do it|?

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  • I just record the cash back when I redeem it, giving it the category you be budgeted’

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  • I only put it in the budget when I redeem it.It's an inflow into the CC account with a category of Inflow: To Be Budgeted.

    If you're using the stock credit account, this may leave you with more than enough money reserved for the payment. You'll have to manually reduce the CC Payment category.

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  • I also don't track my rewards balance in YNAB until I cash it in. If I need to know where I stand, it's right there iny CC app.

    Side note: you should always redeem Citi Double Cash rewards as a deposit to checking (or for gift cards if that's your thing), not as a statement credit. Taking it as a statement credit reduces the amount you pay, therefore reducing your "1% when you pay" reward. 

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  • Hi gumbudah !

    I wouldn't try including those cashback rewards in your budget until you redeem them, because until then they're not actual dollars you have in your possession.

    When you categorize an inflow to a credit cards as Inflow: To be Budgeted that inflow will only reduce the balance of the credit card. This accurately reflects what happens in your account as well. The credit is applied, and your account balance is reduced.

    Once your account balance is reduced, be sure to double check the Credit Card Payment category for that particular account. If you have more money than you need in the Payment column, you can safely move money from that category to any other category.

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