For a while now our Plus and Premiums users have been enjoying a feature called “Unallocated Money” that made it easy to organize multiple or irregular incomes into a steady budget. This feature has been so useful that we decided to make it available to all our users!
What is Unallocated Money, anyway?
Unallocated Money is simply a “holding pen” for money that you’ve received (like from paychecks), but haven’t yet distributed to your Envelopes. To leave money Unallocated, go to Transactions…Add Money / Receive Income and choose Keep Unallocated. When you want to distribute your Unallocated Money, go to Envelopes…Distribute from Unallocated.
So, how can Unallocated Money help me?
- If you’re never quite sure that you’ll have enough to pay your electric bill on the 18th, put a cushion of about one month’s expenses in Unallocated Money. (Or set aside a little bit from every paycheck and build up a cushion in Unallocated). Then you can always fill your Envelopes to the max at the beginning of the month.
- If you have multiple and/or irregular incomes, use Unallocated Money to organize everything into a steady budget. Learn how here. (This method works for everyone now, including free users.)
Hmm… what if my Unallocated Money is negative?
There are a few ways this could have happened:
- You took more money out of Unallocated than you had at one point. (Oops!) If you have extra money in one Envelope, move that money to Unallocated by using Envelopes…Distribute and entering a negative number. (I know this sounds weird, but it works.)
- You have the Accounts feature turned on and haven’t added all your Accounts yet. (Maybe you forgot to put in your Savings Account or Cash Account?) Go to Accounts…Add Account.
- You have the Accounts feature turned on and have more debt (credit cards, etc) than assets (checking, savings, cash). Check out how to handle debt here.
Can I Schedule the Income and Distributions?
Yes! On Plus & Premium plans, you can ask EEBA to automatically receive your Income, keep it Unallocated, and Distribute funds from Unallocated to your Envelopes. Check it out on the web under Scheduled.
We’d love to hear how you’re making Unallocated Money work for you!