I have an Idea / Feature Suggestion for Budgeting - Long post alert.
At the moment, you can manually set your own budget (regardless of main balance) - for both total (left to spend) and categories.
It has no connection to the real balance and it gives you only an idea of your expenses without being absolutely accurate.
(see example below)
Monzo already categorises expenses automatically.
- So based on data from the past 3 or 6 months, Monzo could automatically set limits to each category (with an option to change it manually).
- Additionally, for the top ‘Left to Spend’ section, please consider the below example:
Monzo says excluding your fixed and variable expenses, you have £200 remaining. How much would you like to save from this for the current month?
You choose £50, then the circle shows £150 Left to Spend. (£50 is moved to a dedicated pot called Budget Pot)
Until the budget from a category isn’t reached, the £150 stays intact.
When you overspend in a category, the Left to Spend balance is deducted. Also, that category is coloured red.
If you exceed the £150 Left to Spend budget, then excess amount is first taken from the Budget Pot.
If you mange to succeed in almost all the category budget goals and by then end, you have £100 remaining in the Left to Spend, then that £100 is added to the Budget Pot and the cycle is reset for next month/time period.
- The Summary page could include 2 more categories:
Income: it shows total earned in that month/time period. You click/tap to open > it shows the break-down (how much earned & when - in that month/time-period)
Pots: on a scale, it shows how much money will be added this month/time period to all pots (based on past data). 1st click/tap to open > it shows the first break-down (total amount added in individual pots). 2nd click/tap on a particular pot to open > it shows further break-down (how much added & when)
Thank you for taking the time to read.
If you have any questions or comments, feel to free to ask.