How do you enter an unbudgeted Credit Card Expendidture

My laptop died unexpected and unbudgeted for. RIP.

So, I had to buy another one immediately, spending several hundred pounds on my credit card .

I have decided to pay this back in instalments over the next 12 months.  The  other spending on the card, I will pay off every month as usual with the money set aside  through the usual YNAB budget allocations.

My question is, how do I add this several hundred pound expenditure to the YNAB system? There's no budgeted money to draw it from, so I can't allocate the money to a category?

Do I somehow add it  to income for the month? Do I add it as an uncategorised expense on the credit card? YNAB doesn't like uncategorised expenses.

I have forward budgeted for a couple of months and I don't want this "loan" from my credit card now to do any weird "stealing from the future" stuff?

Advice would be welcome, please.

Thank you.

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  • YNAB says leave it overspent. I dislike that, as it looks like a mistake rather than a conscious choice on your part. You can cover the overspending from the CC Payment category to turn off the warning.

    This reduces the CC Payment, but then the purchase becomes budgeted... which increases the CC Payment right back where it started.

    Over the coming months, budget directly to the CC Payment category to reduce the debt. Paid-in-full status is reached when the category matches the account balance.

  • Cornflower Blue Sun said:
    Do I add it as an uncategorised expense on the credit card?

    No, use the normal category that would apply if you had the money. The resultant overspending is a follow-on task.

  • Cornflower Blue Sun said:
    do any weird "stealing from the future" stuff

    One tip if you budget directly to the Future: leave $1 in TBB. The risk of stealing from the Future only happens when TBB equals zero. Barring any cash overspending, a positive TBB guarantees the future is also positive.

    Personally, I would guard against this in a different way; however, you may not be looking to learn more efficient workflows right now.

  • Thanks.


    Sorry, I'm probably being obtuse here, but I still don't understand how I can allocate the money (or lack of it) to a category this month without it showing up as being X hundred pounds overspent in January, which will reduce my "To be budgeted" amount?

      • dakinemaui
      • dakinemaui
      • 9 mths ago
      • Reported - view

      Cornflower Blue Sun Consider the Electronics category is overspent: yellow and -$1000 Available. Further, your CC Payment category is $2200 (green) and TBB is $1 (green). You need to allocate an additional $1000 to Electronics, so do that. TBB decreases, of course.

      If Stealing From The Future wasn't a thing (or you didn't budget directly to the future), it would go down to -$999. Since you budget directly to the future, your TBB will probably go to $0, and the future TBB will decrease by $999. Doesn't matter which.

      The other thing that happened is your CC Payment category increased because that is now a budgeted purchase. Now you can budget -$1000 (negative) to the CC Payment category to pull out $1000 to fix the negative TBB (either the current or the future).

      Perhaps easier, but not always applicable: if you have $1000 available in the CC Payment category, you can let the Move Money tool or the Cover Overspending tool do both budget entries for you.

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