And the categories are....

When we first started with YNAB, naming our categories and compartmentalizing our spending was a big hurdle (yeah, I'm going to continue writing this to the countless hoards reading my shiny new blog to learn all about YNAB until the 34 Day Challenge is done). For months many many many purchases went uncategorized and/or problem-solved into new parts of our budget or reassessed as something to spend on altogether.

After two years of budgeting, I still see worth in scrutinizing our categories and spending. Not daily, but every couple of months. On New Year's Day we overhauled and merged numerous categories in our budget. Keeping things streamlined and minimalist is great, unless you really thrive on details. We spend $150/month on subscriptions, do we have a singular subscriptions line in our budget for that $41? NO, because that would make me bonkers (it might work for you but I can't deal). 

I like knowing exact numbers, I like managing individual subscriptions, I like tracking when the subs are billedI like tracking who raised rates and when. I like setting monthly goals to hit so when that annual subscription is billed I know I've got it in the bag. The devil might be in the details, but he's wicked good at creating healthy money habits!

We have eight categories and forty-one subcategories in our budget. Our budget is broken down into enough detail so it isn't overwhelming and it accurately reflects us as people and our priorities. This is beyond money management, it is a process of getting to know yourself better. Be transparent with yourself when it comes to your finances, these are the compartments of your life. Make them healthy and positive.