YNAB doesn’t think your budget should be unchangeable. Rule #3: You have to roll with the punches. YNAB will let you know how much you need to save each month and keep you on track to reach your goal. Set goals for these large expenses and associate a time when the goal needs to be met. Instead, there are some large expenses that happen throughout the year. YNAB realizes that not all expenses occur every month. Rule #2: You have to embrace your true expenses. At the end of the exercise, you should have no money left over that needs to be budgeted. Essentially, YNAB believes that when every dollar is intentionally allocated to an expense or a goal, you make your financial life easier to manage. Rule #1: You have to give every dollar a job. The software revolves around four main budgeting rules. It’s specifically designed to help you stop living paycheck to paycheck, pay off debt, and save more money.įor someone on the path to financial independence, the YNAB budgeting philosophy should get along well with many of the concepts you already apply to your financial life. YNAB is a popular subscription budgeting software. That’s where You Need A Budget, commonly referred to as YNAB, comes in. This can feel overwhelming if your system of budgeting in the past has simply been checking your account balance and doing some quick mental math. When someone finds the world of personal finance, and FI, the first thing they will likely need to do is come up with some sort of budget.

Ynab budgeting