How To Fund Envelopes When Using Accounts

Q: I’m using the Accounts feature of EEBA. Why do I have to choose an account when I reset my envelopes to their starting amounts? And how do I get my Envelope funding to match with my paycheck amount?

We ask you to pick an account (the actual account into which your paycheck gets deposited) in order to help you keep your Account balances correct.

Don’t use an Account adjustment to receive a paycheck. Account adjustments should actually be used only very rarely when something is thrown off. Instead, do the following whenever you receive money. The below example is for a paycheck, but you could do something similar for receiving any other money (interest payment, gifts, etc.):

  1. Use the Add Money functionality to receive your paycheck amount, say $2,000 into a particular account, say “Checking”. You’ll then allocate the $2,000 among your envelopes.
  2. Instead of using “Reset ALL envelopes”, use the “Specify a remembered refill or an action for each envelope” option. Or you can choose to leave the amount Unallocated and then distribute the money using the same screen later.
  3. Enter your paycheck amount
  4. In your case, for all of your regular envelopes, choose “Reset to Start Amount”. (Some may want to use Reset for some envelopes and Add start amount back in–our rollover option–for other envelopes)
  5. Then choose an Envelope that you’re going to put any difference between the total of reset amounts and your paycheck into by selecting a Sweep envelope.
  6. Finally, check the “Remember this refill as” box and give it a name.

By doing this, your Account will automatically be adjusted correctly and your envelopes will have the right amounts in them.

You only have to do all of these steps the first time. Next time you receive a paycheck and want to follow the same funding rules, just choose the Remembered refill from the “Would you like to apply a remembered refill?” dropdown box. The Reset and Refill rules will be filled in for you for each envelope, and the Sweep envelope will take care of any difference.

See also: How to Handle Multiple Incomes with Accounts

Updated: 10/21/10 for Sweep envelope, and entering the paycheck amount