How to create a budget by category

What a budget by category is and why you need one

A wallet balance can't tell you how much of the café limit is already spent. In a budget, the share of the limit spent sits next to the share of the period that has passed.

The period is a week, a month, a year or your own date range, for example for a trip.

What a budget is made of

Budget spending is the transactions in the chosen categories during the budget period.

The limit is €330 for November. On November 20, 19 of 30 days have passed, which is 63% of the month, and €260.70 is spent, which is 79% of the limit. €69.30 is left for 11 days including today: €6.30 a day.

How to create your first budget

1. Open the Budgets section and click "Budget"; the "New budget" form opens.
2. Enter a name, such as "Groceries", then the limit and the currency.
3. In the "For" line, click "+ category" and choose at least one category.
4. Choose the period: "month", "week", "year" or "Date range" with start and end dates.
5. Keep the defaults of the "Pace", "Remainder" and "Include recurring transactions" rows or change them, then save the budget.

How to spot an overrun before the month ends

In the budget list, the "At risk" block collects budgets whose spending pace is above the plan and budgets that are over the limit. A pace above the plan means a larger share of the limit is spent than of the period has passed: for example, 79% against 63% of the month. Each budget has its own heading, for example "Cafés and restaurants: pace is above plan".

The "Subscriptions" budget: €28 against a €24 limit, over the limit by €4. The same budgets are in the "Budgets this month" widget on the dashboard, and the transactions behind the spending are listed in the budget details.

How to use the remainder in the next month

The "Remainder" row has three options: "None", "Accumulate" and "Deficit only". With a €180 limit and €36 left in October, next month's limit is €216 in Accumulate mode and €180 in None mode.

If October spending is €20 over the limit, the next limit is €160 in Accumulate and Deficit only modes. When "Fixed bill" is chosen in the "Pace" row, there is no "Remainder" row.

How to budget for rent

Rent is paid on a single date, so the daily pace doesn't fit it: on payment day the spending would be above the plan. In such a budget, choose "Fixed bill" in the "Pace" row.

The €435 limit is €360 of rent and €75 of utilities. €360 is paid, which is 83% of the limit. The daily pace and the carry-over of the remainder don't apply to this budget.

How to avoid counting a recurring transaction twice

Internet at €11.50 a month is a recurring transaction, and the "Connectivity" budget has a €30 limit. With "Include recurring transactions" on, the budget details have an "Already known in November" block while the period has no spending yet: the "Internet" row marked "Recurring, November 25" with €11.50, and under it "After these, €18.50 is left in the budget".

For a budget that covers only day-to-day spending, you can switch the toggle off. The recurring transactions of those categories then stay in the forecast separately from the budget.

Budget settings

Name and icon

The button to the left of the name opens the icon and color choice. They don't change any totals.

Limit and currency

A transaction in another currency is converted to the limit currency at the rate for its date.

Categories

Choose at least one category. Transactions in other categories don't count toward the budget.

Period

For a trip or a project, choose "Date range" in the "For" line and enter two dates. The end date can't be before the start date.

Pace

"Daily pace" fits groceries and cafés. "Fixed bill" fits rent and utilities.

Remainder

In Accumulate and Deficit only modes, the next limit depends on the previous period. In None mode, every period starts with the full limit.

Recurring transactions

With "Include recurring transactions" on, an upcoming recurring transaction is subtracted from the limit in advance: with a €30 limit and €11.50 for internet, €18.50 is left in the budget, and the forecast counts that amount once.

Warning

In the "Warn at" row, set the share of the limit spent, from 1 to 100%, 80% by default. When that much is spent, a "Budget used" card appears.

What counts in a budget

A limit doesn't stop you from recording transactions: when it is exceeded, the budget shows, for example, "€4 over the limit". Transfers between your own wallets don't count in spending or budgets. If a transaction date has no exchange rate, part of the budget totals is unavailable.

Changing the limit in the same budget changes the current and future periods; past periods aren't recalculated. If the budget gets a different purpose, create a new one.