WELL, the first step is realising our priorities. There are just some payments we just cannot miss. Rent, utilities/bills. The monthly budget has to ensure there is enough to pay for them. Once you have accounted for these, you can start thinking about feeding yourself.
The aim of this article is to share with you a new way to help you budget. A little disclaimer, we did build this budgeting solution ourselves. This was out of the frustration of not being able to budget successfully using other mechanisms out there i.e Apps with spending reminders, graphs etc. Here is why they will not suffice.
The trick is, you want to get rid of the bills money as soon as you are paid mitigating any chances of you spending money that should not be spent. The question is where to put it?
"Hey, I have a separate bank account, I could just put money in there. Solved!"
THIS IS NOT GOOD ENOUGH, you can still touch it and because of this, your solution is flawed. Do you trust yourself? You know after you've had a hard day at work, you will order Uber Eats from it even though you have food in the fridge. You need somewhere out of reach.
"Ok point taken, I do not trust myself so what do I do?"
You need a service that can take care of it for you. Somewhere that once you deposit your bills money into it, you can forget about your bills entirely. A service that will take your bills money you deposit and then pay your bills on time for you when they are due.
Our solution, YSplit, links to all your house bill accounts. The feature you are looking for is pots. You can deposit your bills money via bank account or credit card after payday. Think of this like any other app that provides a balance except you cannot withdraw funds from ours.
Once your bill accounts are linked i.e Gas, Rent, Internet etc, the app knows when those bills are due and will use the funds deposited earlier in the month in your pot to pay for those bills. Everything is on autopilot.
The key point here is your bills money is out of the way and untouchable. The important bills are out of the way leaving you with money you can actually spend on food, going out etc.
So let's recap.
1) Accidentally spend bills money even with budgeting reminders.
2) If you've make it to step 2 you were strong enough not to spend your bills money but now you just have to remember to pay the bills on time to avoid late fees...
3) And it isn't over... after you pay the bills, now chase housemates for their share of the bills if you are in-charge of the bills.
1) Deposit funds into YSplit bills pot as soon as you are paid. YSplit will now pay your bills from your bills pot on time when they are due.
2) If you have invited your housemates to YSplit everyone will be charged their share separately so no more chasing.
As you can see from the image above, everyone was charged separately. For my share, I was charged $8.67 from my pot balance and the remainder from my credit card. The $8.67 was deposited the previous month. YSplit bills pots = new age budgeting. Your monthly budget is now a lot less complicated.
Check us out below. We know that bills are the hardest thing to pay every month with everything going on and so we built YSplit to give you the best chance of spending your money next Christmas without a guilty conscience 😉.