CHET education savings funds?

I am assuming these can not be linked or direct imported correct?

How best to track under YNAB??

 

Off budget??

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  • Off budget for sure. Most off budget accounts are better off unlinked whether you can or not.

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  • Hello!

    Here’s the best way to keep an investment account balance up to date in YNAB:

    1. Set up the account as an unlinked Tracking account, if you haven't already (Tracking > Asset or Liability).
    2. Create a Scheduled Transaction to show your regular contributions or payments. (If your financial institution offers file exporting, you can also use our File-Based Importing feature in the web app.)
    3. Update the account balance like this as it changes, or as frequently as you’d like.

    Let me know if you have any questions at all!

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    • Matthew Ok but,

      I added the CHET's as OFF budget tracking only, so I have ON budget checking that I transfer funds to the CHET's.

      How Do I do this?

      I tried and when I transfer the checking funds to the off budget accounts, it asks for a category??

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    • Turquoise Hail Since you're transferring funds to an off budget account, it will need a category. You can create an "Education Savings Fund" category and budget your contributions to it each month. So, if you plan to contribute $100 each month, you'll budget $100 towards the Education Savings Fund category and then enter the transfer from the Checking account to the off budget CHET account.

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    • Faness I was afraid of that!

      My categories are getting out of hand, was hoping to simplify the process instead of adding more to the budget cats

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    • Matthew 

      • Hi - sorry another issue- how do I move savings accounts I initially created as tracking in budget to non tracking off budget?

        I think having them on budget is screwing up my TBB amount as I dont want to touch these savings accounts!

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      • Which brings a question - should all savings accounts be left off budget?

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    • Turquoise Hail All cash-based budget accounts (checking, savings, cash, etc) will flow into To be Budgeted. We recommend keeping savings accounts on budget so you can give those dollars a job too in savings categories. It's a different way of thinking, but really powerful.

      Take a look at this 7-minute Whiteboard Wednesday about savings, and here's an article showing you how it all works. Let me know if you have any questions!

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  • Hi - sorry another issue- how do I move savings accounts I initially created as tracking in budget to non tracking off budget?

    I think having them on budget is screwing up my TBB amount as I dont want to touch these savings accounts!

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  • Which brings a question - should all savings accounts be left off budget?

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      • WordTenor
      • I'm the oldest and the wittiest.
      • WordTenor
      • 1 mth ago
      • 3
      • Reported - view

      Turquoise Hail No savings accounts should be left off budget. All liquid accounts (checking, savings, cash, CDs) should be part of your budget so that you can define the purpose of the money. 

      Investment accounts change value on their own; this is why they shouldn't be part of your budget. Savings accounts hold dollars whose jobs need defining. One of those jobs might be "get transferred to the CHET" so you'll need a "CHET" category to which you budget the dollars. Then, when you transfer the money, it gets categorized to that category. 

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    • WordTenor What if I dont want to touch the savings accounts? (kids for college)  Wouldnt this be better off off budget?

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      • WordTenor
      • I'm the oldest and the wittiest.
      • WordTenor
      • 1 mth ago
      • 2
      • Reported - view

      Turquoise Hail A kids' college investment account I'd keep off budget just like I would a retirement account. I'm replying to your question savings accounts. Savings accounts should be on-budget. And if you are using a savings account to hold money to be transferred to the college investment account, it should be on budget and budgeted accordingly. 

      I used to fund my Roth IRA with money I received essentially as a holiday bonus. So I would cash the check into my checking account, and then budget $6000 to "Roth IRA." Then, when I was ready, I would transfer the money to my Roth IRA, which is not in YNAB at all (personal preference; I don't use YNAB to track my full net worth. But if it were in YNAB, it would be a tracking account). That action was a transaction categorized to "Roth IRA." 
       

      The reason not to keep the investment account in YNAB, and the reason to keep  savings accounts in YNAB is about the nature of the type of account, not about whether or not you intend to touch the money. When you're good at minding your categories, you can have tens of thousands of dollars in a savings category but only $3 in "Dining out" and resist going out to dinner. 

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      • nolesrule
      • YNAB4 Evangelist
      • nolesrule
      • 1 mth ago
      • 1
      • Reported - view

      Turquoise Hail Putting money in a savings account doesn't keep you from spending it. Putting money in a category called "College Savings" and then keeping it in that category is what keeps you from spending it. You could have all your budget money in one account, and as long as you stick to your categories, you will still have money saved for the purposes of each category.

      Your budget should have exactly as many categories as you need in order to cover all your priorities. There's no such thing as too many or too little.

      Single purpose tax advantaged accounts such as IRAs, 401ks, HSAs, ESAs, 529s, etc have withdrawal restrictions and therefore should not be part of the budget. But in order to move money into them, you will need a category, because money leaving your budget needs a category.

      Like 1
  • WordTenor said:
    When you're good at minding your categories, you can have tens of thousands of dollars in a savings category but only $3 in "Dining out" and resist going out to dinner. 

    Man, I will never be that good. 😂  Thankfully, that's not my priority at this stage in my life. 🙂

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      • WordTenor
      • I'm the oldest and the wittiest.
      • WordTenor
      • 1 mth ago
      • 3
      • Reported - view

      Superbone I'm good at not borrowing from the tens of thousands category because that is typically "super important; do not touch except in case of extraordinary emergency" kind of money for me. I'm not great at not stealing from "Vacation." But I am sick and tired of not having vacation money when I want it, and so I'm turning down even the dollar menu to keep my vacation money in place! :)  

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      • Superbone
      • YNAB convert since 2008
      • Superbone
      • 1 mth ago
      • Reported - view

      WordTenor Nice! Funny you say that as I was just tempted to go on a vacation with family (had to make a decision within the hour) but it would have decimated my vacation category and I'd rather go somewhere on my own this time. 

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