Unexpected expenses

Greetings!  We started YNAB at the first of the year and immediately latched on to the concept of budgeting, though some of the ideas took a bit to understand (aging money...what?!?).  It's been pretty awesome thus far, though.

Probably the easiest things to explain: I set up a Federal Taxes category when I first set up our budget, figuring we'd owe money for 2017 taxes.  I had been putting money in there every week with the idea to have the amount to pay available right around April 15th.

I was also putting money aside to begin paying off bills, and had the money set aside to pay the first bill off (a little over $1,000).  Right before I called to pay it off, my wife dropped her iPad Air and shattered the screen - ouch!  Well, instead I took that money I set aside, moved part of it to buy a new iPad for her (cash), and moved the rest to the Federal Taxes category - paying that almost a month early!  Piece of mind knowing that it's that easy to move  money around as needed. 🙂

We'll get back to paying stuff off (three 0% interest bills) this month.

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  • Love this! This is such a good example of Rule Three in action. You got a punch (smashed iPad) and rolled with it (repurposed money knowing you'd build it back later). Imagine if you didn't have money set aside for either thing! Oy! What a terrible day that'd be. Way to go!

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      • Zambo
      • zambo
      • 3 yrs ago
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      BenB at YNAB Thanks, Ben!  Yeah, it's a pretty great system to have in place only a few months in.  If we had not started YNAB, most likely we would bought a new iPad with a credit card and then saved up to pay it off.  Our priorities have definitely changed - as has our focus.  Now our goal is to pay off all debt as soon as possible - which is not only doable, but can be easily done while building up categories we don't use every month.  What a great feeling!

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