The magic of YNAB lies in the power of what they call Rule 4 or "Live on Last Month’s Income”. In simple terms what Rule 4 describes is having enough money on hand to budget out the entire month in front of you without needing to rely on income as it arrives throughout the month. However, if you're living paycheck-to-paycheck the golden ring of that full buffer may feel like an impossible goal. This book will teach you a method that will get you there sooner than you thought possible.
It does so by providing a step-by-step approach that helps to cement good habits of working on and with your budget to fit your changing needs while still living paycheck-to-paycheck.
What it doesn’t do is delve into tracking long term expenses as the focus is on getting to the buffer as quickly as you can. Once there the clarity that a full buffer brings will allow you to reassess your budget to focus on long term annual or semiannual bills as you should. Recognizing when you're there and what to do next is discussed in the book.
It does so by providing a step-by-step approach that helps to cement good habits of working on and with your budget to fit your changing needs while still living paycheck-to-paycheck.
What it doesn’t do is delve into tracking long term expenses as the focus is on getting to the buffer as quickly as you can. Once there the clarity that a full buffer brings will allow you to reassess your budget to focus on long term annual or semiannual bills as you should. Recognizing when you're there and what to do next is discussed in the book.
