4.7 • 1.1K Ratings
🗓️ 24 October 2022
⏱️ 6 minutes
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Killian, a YNAB 4 user, asks about Rule Four and the "age of money" metric. How long should you age your money before you can relax a bit and not budget so stringently?
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0:00.0 | Hello, Weinabbers. My name is Jesse, and we come with another episode of The Weinab Podcast. |
0:08.4 | Where we teach you four rules to help you stop and fish. To pay a check, you can get |
0:11.1 | out of debt and save more money. You can send questions to me at AskJessie at Weinab.com. |
0:18.0 | Killian asked a question. He said, Weinab was budgeting last month's income for the current month. |
0:23.4 | This is back with Weinab 4 for you that have been around for a while. I know there are a lot of |
0:28.4 | you. This was pre-2016. What you would do is you'd budget money for let's see what's Killian |
0:35.1 | saying. Budgeting money are last months income for the current month and then having the current |
0:39.2 | month's income be saved for the next month. Then when the new Weinab came out, you and other |
0:44.3 | Weinab publishers said we're working on having something show what should be allocated in |
0:50.0 | each month versus the next month. I'm not sure exactly what Killian's referencing there. It was, |
0:55.7 | almost six years ago, but he said rule four was change to just age your money. Prior, rule four |
1:03.1 | was stop and paycheck to paycheck or maybe live on last month's income. It's been both of those |
1:09.2 | things. Now it's age your money. That's not my favorite either. Honestly, we're thinking about |
1:15.7 | how to make it clear. The rule, the principle behind the rule, Killian, is to step away from |
1:25.1 | the financial edge. We want to have time between when you earn money and when you spend money. |
1:30.4 | In the old Weinab for mechanic, you would record and say this money is for next month. Then it was |
1:37.3 | distancing your spending from that earning at minimum a day at most 30 days, the length of a month. |
1:47.3 | With age your money, we wanted to get more of a gradient in there where you could say, |
1:52.5 | you're spending money that you earned a day ago or seven days ago or 15 days ago and have |
1:58.4 | that calculated over time. The calculation is fairly obscure. It's hard for people to understand. |
2:04.7 | There's some reasons we don't like age your money that we're not totally sold hooklann and |
2:09.6 | sink around it. But the principle of rule four never changed and that is get some distance between |
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