Credit Card bills

Hi there,

I’m here to ask for an opinion.

I have created a personal account and an account for my credit card (liability).
I’m having doubts how to control the payments. I mean, If I made a transfer from my personal account to credit card account there is an expense that will be not tracked, but that I need to be budget.

If I make an expense payment the credit card, and then do a deposit in the other account in budget they will cancel one and another.

For example I budget 100$ for month to pay my credit card debt. I made the payment, the balance is updated and in the budget sheet it appears the payment. But when I update with a deposit, the budget is cancelled.

Maybe is better to do the payment and then, just update the balance for the credit card? and ignore the deposits?

Best Regards,

Most people are more interested in seeing and understanding their income and expenses, so those transactions are the ones that get categorized and budgeted. Moving money around between your accounts (which paying a credit card bill is) typically isn’t as important, so they are classified as ‘transfers’ and hidden from reports. Maybe it makes more sense to focus not on the $100 credit card bill, but on what your spending that $100 on? Is it food, cloths, utilities, coffee or ?? Knowing this helps understand what you’re doing with your money, and possibly allowing you to make changes if necessary.

Yes, that makes sense.
But in my head I think I should know that because of the expense with the credit in the previous month, this month for example I will have an expense extra that is paying the credit card.

It doesn’t make sense?

It certainly makes sense to know when you have upcoming bills, and how much they are going to be. I think there are templates that can help with that. Do a search in the forum for ‘Bill’ and you should get some options that may help you.

I track expenses by the credit card transactions only. Payments to my credit card I don’t even track at all, just what I spend on the cards. I categorize those charges and pretty much ignore the credit card payments. Hope this helps