Another CC withdrawal question
Hey! I've read the other topics on CC withdrawals, and there's one aspect of it I still can't figure out.
So I learned how YNAB handled this, and it's okay by me: I recorded the transfer from my credit card to my cash account, it changed my CC payment category (since I have new debt) and sent some money to "to be budgeted", since I, well, now have some cash on hand. That's all fine. Seems a little convoluted like some people pointed out, but I'm fine with it.
The thing is: I then budgeted that money back to the CC payment category, my CC account now shows:
- Balance: -$X
- Payment: $X (the same amount)
- Overspent: $Y (shown in yellow, for the amount I withdrew)
So that's when it lost me. How can I have budgeted for the full payment of my credit card, and still be "overspent". That doesn't make sense to me, can anyone clarify?
I mean, I thought it made sense at first, before I budgeted the amount back to the CC payment category, but for everything to be "okay" and the account still show overspending is really weird to me.
Hi Marcelo Alvim !
Sorry for the confusion!
That overspending notice is mentioned at the end of our Transfers from a credit card account Help Doc.
The yellow overspending alert in your credit card account register won’t go away until your budget rolls over to a new month. This is the case even if you budget the amount of the transfer directly to the Credit Card Payment category as described above. This can be safely ignored, as long as the credit card Payment amount matches the payment amount you plan to make.
Thanks for your answers.
I now understand I can ignore that, but I still ask what is that telling me? Why is this there, if it has no meaning after I've budgeted for the payment of the card in full?
I mean, I'll mark this as answered and I sincerely thank you for your help, but I might just do as @dakinemaui said and submit an improvement request of sorts? It seems it serves no purpose and is just confusing for people who pay it in full. Or am I misunderstanding something? If I budget for the payment in full, how can I be "overspent"? Is that useful in some use case that I can't think of?