I spend with credit cards for points, then pay my balance in full

Jedp
Jedp Member ✭✭
edited April 19 in Bills and Income
Each month, we use credit cards to pay for most bills and day-to-day expenses. I keep the balance at zero on those cards and pay them off each month. As a result, my cash-flow projection is wrong. How would you recommend doing this to keep the projection correct?

Best Answers

  • Coach Natalie
    Coach Natalie Administrator, Moderator admin
    Accepted Answer
    Hello @Jedp,

    Thanks for posting your inquiry to the Community!

    The Projected Cash Flow Graph is based on your Recurring Bills and Income, therefore, if you're paying your bills using your credit card, I would suggest making sure that you have the bills set up as Recurring Transactions for the credit card account. This should give you an accurate projection of what's coming up for the account in question, though most likely wouldn't show you any income, as it is a credit card account. 

    You may consider viewing the Cash Flow tab in the Upcoming section, as this can be customized to view all or some of your accounts (instead of being on a per-account basis), which should hopefully allow you to see your upcoming bills for the credit card account, as well as any income coming into your checking, or other accounts. 

    You may find more details on Projected Balances here, and more details on the Upcoming section here

    Please let me know if you have any questions! :smile:

    -Coach Natalie
  • Coach Natalie
    Coach Natalie Administrator, Moderator admin
    Accepted Answer
    Hello @Jedp,

    Thanks for the additional inquiry!

    Assuming that you have no Recurring Income coming into the credit card account(s), and only have Bills set up as Recurring Transactions for these accounts, it would make sense that your Projected Balance would slowly decline. Setting up a Recurring Credit Card Payment wouldn't be counted as Income, as these types of transactions are considered "Transfers" and are therefore kept neutral. 

    This is why I suggested using the Cash Flow tab in the Upcoming section to view your Projected Balance, as you can select multiple accounts to display in this graph, which would allow you can see your Projected Balance increasing in the account where you get paid (Recurring Income), and decreasing in the account(s) where you're paying your bills, all in one graph.

    Hopefully someone else comes along with a similar situation who can share some feedback with you, however, using your credit card accounts to set up Recurring Bills without also having Recurring Income for the same accounts, will show a decline in Projected Balance.

    I hope this helps, but please let me know if you have any further questions! :smile:

    -Coach Natalie 
  • Jedp
    Jedp Member ✭✭
    Accepted Answer
    OK I'm gonna try that. That makes sense. This would be much easier if I just paid cash for everything lol

Answers

  • Jedp
    Jedp Member ✭✭
    Thank you again! I think making sure I have the cc bill as a recurring bill for what I use it for on average each month will be best for me.
  • Jedp
    Jedp Member ✭✭
    I'm still confused lol. I added the cc's I use for that and I told it to not count in my spending plan and not in reports, though not sure whether or not I want it reflected in reports. The spending plan is fine, but now I see my projected balances over the next several months going into the negative. What should I do? Is it subtracting the purchase and the payment to the cc in my projected balance if the purchase was done using the cc?
  • Jedp
    Jedp Member ✭✭
    Thank you so much Natalie :smiley:
  • Coach Natalie
    Coach Natalie Administrator, Moderator admin
    My pleasure @Jedp! Please let us know if anything else comes up! :smiley:
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