Difference betweeen moving money directly from sourceOfMoney->inflow:TBB versus indirectly via sourceOfMoney->Some-category->inflow:TBB
Wonder which approach to use when
some cases where there is inflow of money via refund/reimbursement/CC statement credit/random other income,
I have seen sometimes we could either do
1.)Move money directly to inflow:TBB
2.)Move money to a specific category, and then move money out of that category and put into inflow:TBB
How does this affect the reports and which one would you recommend in any given scenario?
The most clear case of moving money Directly to Inflow:TBB, is when it is your salary/income.
Hey Sky Blue Harp !
In most cases, returns on credit cards can be categorized right back to their original spending category. Those dollars will automatically move from the Credit Card Payment category back to the spending category. If you spent $100.00 on clothes, and returned $25.00—it's offset, and the remaining $75.00 is what shows on your report.
Inflows to credit cards like statement credits or cash back, will be categorized as Inflow: To be Budgeted. It reduces the balance of the credit card, and reflects what happened in real life: the credit is applied, and account balance is reduced. It will show as income in your reports, under the payee you entered.
For either one, if you have more money Available than you need in the Credit Card Payment or spending category—you can move money elsewhere. The two articles above have visuals on what it looks like in your budget!