I am trying to figure out how to handle irregular or what I call "yearly" expenses without a ton of envelopes.

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I have at least 15 expenses that occur yearly and I have a savings account for these expenses. I'm not sure how to set up either one envelope or an annual envelope to make this work. Any suggestions?
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Sally B

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Posted 1 year ago

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Colin Grant

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Sally B

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No. I am just starting with GB and so am trying to learn all I can. Thank!
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Sandra L. Milo

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I set up Annual Envelopes for each individual expense.  As Goodbudget consolidates all your money in 'one' place, it doesn't matter if it's in a savings or checking account. (actually, the wage taxes here are quarterly)
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Sally B

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I guess I will have to do the hard thing and make envelopes for all my annual expenses. This was helpful. Thanks
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Colin Grant

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You could use one envelope to cover more than one item but it is harder to manage. I do that on my monthly stuff in respect of "subscriptions" to various things. Best start with individual envelopes though and see where that takes you :-) 
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Wayne Woodbury

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You could easily lump all of your annual expenses into a single envelope or divide them into two or three envelopes based on category.  You might want to lump things like property taxes and vehicle registration into one envelope (things that you "need" to maintain) and record other miscellaneous annual expenses in another envelope.  I lump taxes and registration fees into a single envelope, but I have a separate Christmas envelope for each of my children and grandchildren.

Goodbudget is a tool to help you plan for and meet your financial goals and priorities.  It can help you plan for your day-to-day needs as well as plan for the future.  If you make too many envelopes, you will burn yourself out managing your envelopes and spending.  If you have problems spending too much money on dining out, create a specific envelope for that and plan for how much you will spend dining out.  If you don't feel you need to track that specifically, combine it with your "food" or "Grocery" envelope.

If you create too many envelopes, then it becomes confusing and difficult to remember in which envelope you should record which transaction.  So many of our expenses could fit into multiple categories (should I record dining out in my "Date Fund" envelope or my "Entertainment" envelope).  If you have problems with that, you probably have too many envelopes.

Making too few envelopes can also be confusing as you sometimes don't have a good place to put some random expenses.  If you know exactly in which envelope to record your transactions, you are probably on the right track.

Your envelopes should make sense to you and feel comfortable.  Make them as detailed or general as you need in order to manage your goals and priorities.
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