The seven types
| Type | Use it for | On budget by default |
|---|---|---|
| Checking | Your everyday spending account | Yes |
| Savings | Money set aside for goals | Yes |
| Credit Card | A card you carry and pay off | Yes |
| Cash | Physical cash on hand | Yes |
| Loan | Mortgage, auto, student, or personal loans | No (tracking) |
| Investment | Brokerage, 401k, IRA accounts | No (tracking) |
| Other | Anything else | Yes |
On-budget vs tracking accounts
On-budget accounts hold the money you assign in your budget. Spending from them draws down category balances. Checking, savings, cash, and credit cards are on budget by default. Tracking accounts hold value you are not budgeting day to day — a loan balance or an investment account. They count toward your net worth but do not pull from your category balances. Loans and investments default to tracking. You control this per account with the Include in budget checkbox, regardless of type.Credit cards are special
A credit card is on budget and uses the funded-portion model. When you assign money to a spending category and then spend on the card, that money moves to the card’s Payment category so it is safe to pay. Read How credit cards work before you set one up.For credit cards and loans, a balance you owe is stored as a negative
number. When you create the account, enter what you owe as a positive figure —
Budget Bandit flips the sign for you.
Picking the right type
- Money you spend from directly, day to day: Checking or Cash.
- Money parked for later: Savings.
- A card you swipe and repay: Credit Card.
- A debt with a fixed balance you pay down: Loan.
- Holdings whose value you want in net worth but not your budget: Investment.
- None of the above: Other.
Related
Add a manual account
Create an account by hand with a starting balance.
How credit cards work
The funded-portion model in plain terms.
Net worth report
How assets and liabilities are totaled.
Edit or close an account
Change a type, close, or delete.