Repaying savings as if it were a loan

myllanac
myllanac Member
edited October 7 in Bills and Income
I am buying a car with cash. The cash is coming from my savings. I will then transfer a set amount monthly over several years (checking to savings) to “repay” the “loan”. 

I want to account for the payment in my Spending Plan. Is the easiest way to do this: Set a Savings goal for the total amount, set the timeframe, then begin contributing to the goal (account: savings) in the Spending Plan, with the actual checking->savings transfer transaction being set to hidden/invisible? 

Best Answer

  • DannyB
    DannyB Superuser ✭✭✭✭
    Answer ✓
    Hi @myllanac

    Yes, set up your Savings goal as you described, and make sure you select "Yes, set aside" during the last step of the setup process.  You can't really connect the actual real-world transfer between your checking and savings accounts with this goal.  Instead, your new Savings goal will show up in your Spending Plan in the "Income after bills & saving" section under Savings Goals.  Once the transfer is completed at your bank between checking to savings you will need to make a contribution to your Savings goal in Simplifi.

    Here is a help article all about Savings Goals: Using Simplifi’s Savings Goals | Simplifi Help Center (simplifimoney.com)

    And here is a feature request to add automatic contributions to savings goals you can add your vote: Ability to automatically contribute to Savings Goals [edited] (5 Merged Votes) (simplifimoney.com)

    Once the contribution is made in Simplifi you will see in your Simplifi account register that the money has been set aside in Simplifi.  Now all you need to do is not touch it in your real world accunts.

    A question: Since you will be saving this money over a multi-year period, do you planning to move your auto savings to a high yield savings account or put it into CDs?
    Danny 
    Simplifi user since 01/22
     Budget: a mathematical confirmation of your suspicions.” ~A.A. Latimer

Answers

  • Flopbot
    Flopbot Superuser ✭✭✭✭✭
    edited September 9
    Bumping this one too!  I always enjoy @DannyB's educational replies!
    Chris
    Quicken Desktop user since 2014.
    Brand new to Simplifi in 2021.
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