Living on Last Month’s Income

"In traditional budgeting methods, people assign amounts to spending categories according to the money they expect to earn that month. With the YNAB method, you only budget money you actually have. In the beginning, this will mean that with each paycheck you will decide what expenses that paycheck needs to cover until you get paid next. When the next paycheck comes, you decide what the next priorities are. You will be allocating funds to your budget categories each time you get a paycheck."

Read the rest of the post here: SixFiguresUnder.com

----- [Photo cred: tanakawho]