New to YNAB & needing advice

Hello there! So I could use some help. I’m new to YNAB and while I understand the basics of how to use it, I’m currently stuck in the cycle of using cash advance apps like earnin. Is there any good advice on how to get off of them? Is it better to go cold turkey or to slowly trickle off? Any help on the subject matter would be greatly appreciated! 

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  • Hello, Beige Boat , and welcome to YNAB!

    YNAB is all about breaking the paycheck-to-paycheck cycle by prioritizing the dollars you have now.

    However, that doesn't mean either cold turkey or tapering off paycheck-advance apps is automatically the right way to go. What you're describing is similar to the credit card float: living on money than you haven't actually received yet.

    So if you can go cold-turkey, go for it! However, that's likely to be very difficult if you're floating, say, two weeks of pay. So if you want to taper off, I'd make a note of how much you're borrowing, and see if you can reduce that amount each pay cycle until you no longer have to borrow anything to make it to the next paycheck.

    And please keep us posted!

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      • Beige Boat
      • Beige_Boat.7
      • 2 wk ago
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      Matthew thank you Matt! I’ve made a mental note of what I’m taking away from my future self but I haven’t written it down till today. This small step helped me see that I have improved in just this month but still have a bit to go! It took a bit of time to learn YNAB but I’m loving it so far & I can already see improvements in small ways! 

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  • To get off the loan cycle I found it helpful to order my ynab categories and sub-categories in order of importance, top to bottom. That way I knew which categories to fund with the money I had now, while trying not to spend on other stuff for a while. Rent and utilities went at the top, and surprisingly a lot of things I thought were important like certain streaming/app subscriptions, Uber/Lyft, and haircuts started to fall toward the bottom.

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      • Beige Boat
      • Beige_Boat.7
      • 2 wk ago
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      The Artist Formerly Known As this really helps! I think I’ve been too focused on getting everything situated for my ideal situation that I haven’t focused on the situation at the moment. Thank you for this piece of advice!

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