Starting the month projecting anticipated income.

  • 1
  • Question
  • Updated 2 months ago
  • Answered
Considering moving over from Mvelopes. In its old version I can budget for income and fill all my envelopes at the beginning of the month based on the projected income. Can I do that here? Basically want to create a negative envelope for income that is offset by positive expense envelopes. Then as income is received, it reduces the negative balance.
Photo of Tim Formby

Tim Formby

  • 2 Posts
  • 1 Reply Like

Posted 2 months ago

  • 1
Photo of Wayne Woodbury

Wayne Woodbury

  • 253 Posts
  • 190 Reply Likes
Tim,

If I understand your intent, you should be able to use the Unallocated envelope this way.  At the beginning of your budget period, you can do a "Fill from Unallocated" and fill your envelopes with the anticipated amount.  This will give your Unallocated envelope a negative balance in the amount of your anticipated income.  As you receive income, record it as an Income Transaction (as opposed to a "Fill from New Income") and it will repopulate your Unallocated envelope.

That being said, I don't recommend budgeting that way.  I try to follow the mantra "don't spend money you don't have."  My recommendation would be to get a month ahead on your income.  Filling your envelopes and recording your income would be identical to what I recommended above, but your Unallocated envelope would have your "actual" income recorded and you would know exactly how much money you have to fill your envelopes.

It might take a few months to get there, but I feel this offers more peace of mind when you are filling your envelopes, especially if your income is variable.

Good luck,

Wayne
Photo of Tim Formby

Tim Formby

  • 2 Posts
  • 1 Reply Like
Thanks. Our income is fairly consistent and I accrue for a lot of yearly expenses so between that and emergency funds, we have enough operating funds. I have been using this method for years so I am used to it. Mvelopes newest addition won't let me do this and cost twice as much. This system had some good reviews but don't want to get set up and then have to change my method.
Photo of Alex Park

Alex Park, Official Rep

  • 366 Posts
  • 70 Reply Likes
Hi Tim,

If that's the case, then you should be able to do the method you're used to in Goodbudget! Wayne's explanation in his first paragraph is a great primer on doing that in Goodbudget, using Goodbudget's terminology.
Photo of Wayne Woodbury

Wayne Woodbury

  • 253 Posts
  • 190 Reply Likes
I've found that everyone has their own way of viewing their finances and the way they budget.  If that is what you are accustomed to, then that is probably the way that will be most comfortable and meaningful to you.  The nice thing about Goodbudget is it gives you plenty of flexibility to do it your way.

Good luck.