Need help understanding the budget.
need some help understanding how to use the budget in Quicken 2018 (Windows
10). I switched to Quicken this year after using an envelope-based budgeting
system that automatically allocated your income into its envelopes/categories and forced you to balance your budget. I realize Quicken's budget is different and that's where I'm struggling.
1) Budget Line Total - When I look at the
Planning tab, Annual View/Details, at the bottom are the totals for the budget
- actual - balance. Since my income varies a little each month, there are some
months that the Budget shows a positive balance and some months that show a
negative balance. I'm assuming that the total under the budget line at the
bottom should always have a zero balance and I should be adjusting my budget
each month so it stays at zero. Is that correct?
I get paid every other week at one job, so there are certain
months that will have three paychecks. The budget line total at the bottom then
shows I’m over by approximately one paycheck. Shouldn’t Quicken already be
budgeting that in or do I have to manually adjust the budget for that month by dividing
up the paycheck into each category?
2) Actual Line Total - The confusing part comes
when I look at the Actual column totals at the bottom . . . they also do a similar
thing . . . some months there is a positive balance and some months have a
negative balance. How does Quicken come up with that amount? Is it the actual
spent vs. the budget for the month? Or the actual spent vs. the category
balance? Or something else?
3) Category Balance - When I look at the Balance
for each category (not the total at the bottom but the individual lines), I
have some that are in the red because I’ve had emergencies that weren’t in my
budget so they’re overspent. How do you “fix” that? In my old system, I could
transfer an amount from a category I’d over budgeted in to a category I’d under budgeted.
Is there any way to so something similar in Quicken? I know it doesn’t work
like my old system but is there some way to adjust the balances so they’re not
in the red?
Thank you for your help!