How to manage cash / ATM withdrawals?
You can choose between two different strategies to manage your cash:
- Create an account in Boonzi only for cash. This is where you will register all of your payments with cash.
- Everytime you withdraw cash, you create an expense transaction in Boonzi categorizing it at your own will.
Both strategies have their own strengths and weaknesses.
1. Cash account
This is the strategy we recommend. It consists on:
- Creating an account called Cash
- Everytime you withdraw cash from an ATM you must create a new transfer transaction from your checkings account into your cash account.
- When using cash you should always keep the receipt, or at least note down the amount spent, so that later you can create an expense transaction in Boonzi.
Naturally, the weakness of this strategy is the amount of work required to have all of your finances organized. On the other hand, you will get more precise reports that will help you later when you need to save money or set goals.
This is the strategy we recommend because cash expenses are the ones where people are usually more laid back. Most of the savings happen by controlling these expenses.
If you seek to decrease your monthly expenses and save money, controlling your cash is a good start. If you give it away you will hardly notice where it all goes. To the bakery? Coffee place? Parking?
You will be surprised on how much you can save here.
To simplify the management of pocket money it's in our roadmap the development of a mobile app (for IOS and Android) that will allow you to register expenses as they occur.
2. Expense transaction
If you choose this strategy you'll just have to create an expense
transaction and categorize
it, for each and every cash withdraw.
You can use, for example, the category "Daily expenses". It will be take less work to manage but it will make it harder to know where you are spending your cash.