We discuss both budgeting and data entry, and how different activities land on a y-axis of awareness (we want more awareness, keeping mind diminishing returns obviously).
We discuss both budgeting and data entry, and how different activities land on a y-axis of awareness (we want more awareness, keeping mind diminishing returns obviously).
Hi Jesse,
Great topic!!!!!
I agree with you by reviewing my budget and manually entering on daily basis is a real motivator to stay in control of my budget rather than have it on autopilot. This is a major paradigm shift from other budgeting software. After using YNAB3 for over 3 months, I can see $$$$$ results because of the daily monitoring of my budget.
YNAB is truly the best budgeting and financial software in the market. Plus the support is fantastic.
Thanks for providing “Whiteboard Wednesday”.
Want to echo this message. I find that I really appreciate having my running balance up-to-date on a nearly daily basis. Actually, I collect receipts in my wallet until it seems “full” (1-3 days) and enter those tx with detail; most often I’m recording splits. I do sync with my accounts every week or so but at that point I’m just matching what I’ve already entered.
It rocks to really, really know where my dollars are going for once! And, the habit of keeping receipts and assigning the expense right away has helped to remember to keep those that I’ll need for tax purposes next year (small business, unreimbursed work, etc.).
It is kinda wierd that I was thinking about pretty much the same as your whiteboard topic this week as I took my daily walks. I think that the ultimate awareness should come at the point where you mentally or physically commit funds to be transferred out of your control. At the point where you are “sold” on trading money for something you need to have a “value analysis / value engineering” moment of contemplation. Estimates of such things as: What isLife Cycle Cost?, Will the value depreciate or appreciate? What is it’s shelf life? But things need to be considered, if even momentarily.
What I think I need and want is a way to make these back-of-the-envelope evaluations and as much information about what the current price/quality spread is for the intended acquistion and then at that point in time have that commitment entered in the on going resource allocation plan and the planning device should respond with what, if any, prior commitments this new commitment conflicts with, a list of possible adjustment actions necessary.
I know this is pretty abstract but it is a worthy goal and very practical.
Thanks for your Whiteboard Wednesday.
I am a physicist by training and I have come to think that accounting is an awfully like thermodynamics, the unit names are different are different but both focus on controlling energy flow.
You do have an interesting problem in that most people in the market are looking to lower their awareness in budgeting. That’s what kept me from YNAB for so long. But when I used your program, in less than a month I saw that what I really needed was higher awareness, not lower. The higher the awareness, the more effective the plan.
I’m really looking forward to the iPhone application. Hopefully I can be a part of the alpha.
I’m very excited and I’m glad that you chose me to participate in the Alpha! I also want to give you props the increased enthusiasm.
Another excellent Whiteboard Wednesday!!
I tried the annual budget several years ago. Its great for the planned expenses (taxes, insurance, mortgage, etc.). But, for unexpected items it stinks, and completely throws you off when they occur.
I am retired now and living off a pension. With less $$ coming in, YNAB is great at tracking the $$ I am spending, and keep me from going overboard.