Budgeting for subscriptions when payday is the 28th

Hi all,

I am just starting out with YNAB. I am paid on the 28th of each month and I have some recurring monthly payments go out on the same date. This however skews my budget slightly, as I now have a payment actually coming out on the 28th Sep, and my Oct budget taking October’s payment into account, therefore lowering the amount I have to budget again. I’m not entirely sure how to calculate this correctly - any ideas?

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  • If the payment is pulled on the 28th then you need to budget for that in September not October. 

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  • Hello and welcome to YNAB! Hope you're liking it so far.

    It takes a while to get used to if it's your first zero-based budget, but YNAB works like this: when you get paid, that money goes to the 'to be budgeted' category, with all those dollars waiting for jobs. If you're paid the 28th and haven't budgeted for that subscription,  you'll want to put some dollars to work right away for that payment. Then, ideally, you'll also budget the same amount for October, so that you can start to work your way ahead. So yes, in this case, you'll need to budget twice the amount, once for September and once for October.

    I found a lot of the video resources from YNAB very helpful, and you can't go wrong with the live classes either. Here's a good place to start: Starting Your YNAB Budget.

    Good luck and happy budgeting! 

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      • Ceeses
      • Ceeses
      • 11 mths ago
      • 3
      • Reported - view

      People sometimes get worried about budgeting twice for a category from the same income. You have to realise this will only happen once. Once you can budget for those bills for 2 months (current and next), then when you receive income again you won't need to budget for those bills for the current month and will only put the budget in the next month.

      If you can't put the money in both current and next month right now, put it in the current month and try to save some money. Then put those savings toward budgeting for those end-of-month expenses in next month. Once you have all of those covered, you will be able to budget all of your end-of-month income in the next month area.

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