Credit Card Says Overspent
I'm new to this, but I've read about 30 different posts on the topic of credit cards this week, however, I still can't quite figure this out. So apologies if this is posted elsewhere.
We use our miles credit card for all purchases. We carry the balance for the month, but it is automatically set to pay the balance in full each month. So we carry no debt. I have gone through and appropriately budgeted for all credit card purchases that have posted to the card and I have allocated my 'to be budgeted' money into the categories we intend to spend it on in the future of the month e.g. on groceries or gas, etc.
However, as transactions get added to my credit card - even as I categorize those transactions into their appropriate bucket, it is telling me that my credit card has been over spent in the budget.
Why should I have to allocate budget money to my credit card when all purchases are accounted for elsewhere in my budget. Isn't that double counting? I'm so confused! Appreciate the help.
Purchases made on the card prior to starting YNAB are by definition unbudgeted purchases. In order to make the payment on those purchases you must budget money to the credit card category to reserve the funds for the payment of those pre-YNAB credit card purchases. If you make the payment without having done that, then your payment category will show as overspent.Reply
Are you talking about the orange message that pops up in the header of the credit card account page? You will need to go to the budget page & double check the things suggested by the others.
If the money wasn't in the category it won't get added to the credit card payment category and you will see that overspending note in the header of the credit card account page and the sidebar of the overspent category.Reply