Flow Sheet on Spending
I have been using YNAB for almost a year and have not quite achieved that "ah-ha" moment. As the new year and a new month approaches, I would like to start making better choices financially.
I saw a post(can't remember where I saw it), that had a flow sheet to help you decide whether or not to purchase something- I think this flow sheet might help me. I would like to print it and laminate it as a poster so that I can refer to it when having an impulse moment - maybe this will help me with my budgeting.
I don’t know about a flow chart but here’s the YNAB procedure:
1. Is there enough in the category? If so, consult the balance of the account you wish to use. If there’s enough in both, purchase away. And if there’s not enough in the account, move money between accounts because you have the money, it’s just not in the right place. (A paid in full credit card obviates most of this second step.)
2. If the answer to 1 is “no,” is there another category where you’re willing to spend less in order to pay for the thing? If so, move the money between the categories. Now the answer to 1 will be “yes”and you can move on to making sure the cash is in the right place.
3. If the answer to 1 and 2 is no, then you can’t buy the thing. Done.
There's a great ynab video that suggests adjusting your budget as if you had bought the item, moving dollars into a special category for the experiment. Then live with the changes for a couple of months: more $ going on the vehicle repayments less on food (or whatever). How does that feel? Is that doable? Your priorities have time to become clear, before. you actually spend.
Can I afford this? https://www.youtube.com/watch?v=utHQk3q_NlY