To manage your money effectively, you need to first pull all your accounts into one place, log your transactions and categorize each transaction.
Once you have all your transactions categorized, you can use the Breakdown feature in GreenBooks to see where your money is going.
Manage Your Accounts
The first thing you are asked to do when you open up GreenBooks is to add your accounts.
Add all of the accounts you wish to track: checking, credit card, cash, even asset class such as stock portfolio.
Once you have all your accounts in one place, it’s time to begin logging your everyday transactions in them.
When you spend money on something, create a transaction. When you create a transaction, be sure to assign it a category. Category is what allows you to analyze your spending later.
Similarly, let’s say your paycheck comes in, log it as a deposit.
If you are keeping track of an asset class such as stock account, just add a transaction each month to adjust its value.
Understand Your Spending
GreenBooks has two types of chart that let you understand your spending and cashflow.
When you receive your monthly bank statement, have you ever wondered why you spent so much money? That’s what the Breakdown chart is for.
When you open Breakdown, it shows you all of your monthly expenses broken down by category.
You can drill into each category to see transactions that make up that category. Similarly, you can see how your income breaksdown as well. Click the date selector to choose a different time period.
With Breakdown, you know exactly where your money is going.
Trends let you see trends in your money.
- Balance Trend. See whether you are getting richer or poorer each month.
- Income & Expense Trend. Make sure you are spending less than you earn.
- Category Trends. See up and down in each of your categories over time.
As you can see, you can select multiple trends to see them side by side.