[No Thirst Software] Re: Credit Card Buckets for Finance Charges???
I don't know who the original poster banks with, but I have this type of card with CitiBank. It pays 1% of purchases against my mortgage. We charge just about everything on that card (and pay it off monthly). On Jun 12, 2009, at 9:06 AM, Druzyne wrote: > >> i use a credit card that pays extra money on my >> mortgage (in lieu of points or cash back) - so far its made 3 extra >> payments for me -- so i use it for everything and pay it off right >> away (as this is all normal stuff like groceries and their for in the >> spending plan). > > That sounds like an incredible credit card - how have I not heard of > it? Who offers it? > > --~--~-~--~~~---~--~~ You received this message because you are subscribed to the Google Groups "No Thirst Software User Forum" group. To post to this group, send email to no-thirst-software@googlegroups.com To unsubscribe from this group, send email to no-thirst-software+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/no-thirst-software?hl=en -~--~~~~--~~--~--~---
[No Thirst Software] Re: Credit Card Buckets for Finance Charges???
> i use a credit card that pays extra money on my > mortgage (in lieu of points or cash back) - so far its made 3 extra > payments for me -- so i use it for everything and pay it off right > away (as this is all normal stuff like groceries and their for in the > spending plan). That sounds like an incredible credit card - how have I not heard of it? Who offers it? --~--~-~--~~~---~--~~ You received this message because you are subscribed to the Google Groups "No Thirst Software User Forum" group. To post to this group, send email to no-thirst-software@googlegroups.com To unsubscribe from this group, send email to no-thirst-software+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/no-thirst-software?hl=en -~--~~~~--~~--~--~---
[No Thirst Software] Re: Credit Card Buckets for Finance Charges???
i normally don't carry a balance... (that's just giving money away..) but when there is interest it goes into the 'interest paid' bucket... mortgage interest has its own bucket (since its tax deductible). any charges the credit card bills me (annual fee etc) go in to bank charges bucket. i use a credit card that pays extra money on my mortgage (in lieu of points or cash back) - so far its made 3 extra payments for me -- so i use it for everything and pay it off right away (as this is all normal stuff like groceries and their for in the spending plan). ml On Jun 10, 9:37 pm, Kevin Hoctor wrote: > Karen, > > I just pay a flat amount each month to eliminate my credit card debt. > If you carry a balance, it's nearly impossible to separate principal > from interest because interest is charged on interest. > > I don't use my cards anymore so all I care about is paying it off. > > Peace, > > Kevin Hoctor > No Thirst Software LLChttp://nothirst.com > > Sent from my iPhone > > On Jun 10, 2009, at 2:45 PM, Karen wrote: > > > > > Kevin, this may be an insanely stupid question but why wouldn't credit > > card > > interest affect your cash flow? Where does the interest money come > > from > > in the end? > > > Karen > > On 10-Jun-09, at 2:11 PM, Kevin Hoctor wrote: > > >> On Jun 9, 2009, at 2:59 PM, Dave wrote: > > >>> Hello! I am wondering what everyone does for their finance charges. > >>> Do > >>> you put them in a bucket or not? Technically, you wouldn't have to > >>> b/c > >>> you are paying the charge and the payment at the same time. But I > >>> could see the other side too. > > >>> What is the gist? > > >> Dave, > > >> I assign bank charges to a Bank Charges bucket but not credit card > >> interest charges because they don't affect my cash flow. > > >> Peace, > > >> Kevin Hoctor > >> ke...@nothirst.com > >> No Thirst Software LLC > >>http://nothirst.com > >>http://kevinhoctor.blogspot.com --~--~-~--~~~---~--~~ You received this message because you are subscribed to the Google Groups "No Thirst Software User Forum" group. To post to this group, send email to no-thirst-software@googlegroups.com To unsubscribe from this group, send email to no-thirst-software+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/no-thirst-software?hl=en -~--~~~~--~~--~--~---
[No Thirst Software] Re: Credit Card Buckets for Finance Charges???
Karen, I just pay a flat amount each month to eliminate my credit card debt. If you carry a balance, it's nearly impossible to separate principal from interest because interest is charged on interest. I don't use my cards anymore so all I care about is paying it off. Peace, Kevin Hoctor No Thirst Software LLC http://nothirst.com Sent from my iPhone On Jun 10, 2009, at 2:45 PM, Karen wrote: > > Kevin, this may be an insanely stupid question but why wouldn't credit > card > interest affect your cash flow? Where does the interest money come > from > in the end? > > Karen > On 10-Jun-09, at 2:11 PM, Kevin Hoctor wrote: > >> >> On Jun 9, 2009, at 2:59 PM, Dave wrote: >> >>> Hello! I am wondering what everyone does for their finance charges. >>> Do >>> you put them in a bucket or not? Technically, you wouldn't have to >>> b/c >>> you are paying the charge and the payment at the same time. But I >>> could see the other side too. >>> >>> What is the gist? >> >> >> Dave, >> >> I assign bank charges to a Bank Charges bucket but not credit card >> interest charges because they don't affect my cash flow. >> >> Peace, >> >> Kevin Hoctor >> ke...@nothirst.com >> No Thirst Software LLC >> http://nothirst.com >> http://kevinhoctor.blogspot.com >> >> >>> > > > > --~--~-~--~~~---~--~~ You received this message because you are subscribed to the Google Groups "No Thirst Software User Forum" group. To post to this group, send email to no-thirst-software@googlegroups.com To unsubscribe from this group, send email to no-thirst-software+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/no-thirst-software?hl=en -~--~~~~--~~--~--~---
[No Thirst Software] Re: Credit Card Buckets for Finance Charges???
For me, it depends on my primary card that I use for almost all my purchases and pay off every month, if I get an interest charge (because of a cash advance or a late payment), I assign the interest charge to a bucket. However, for loan accounts and credit cards I'm paying off over time (and that I generally do not use to make new purchases), I do not assign the interest to a bucket. These latter accounts aren't part of my "cash flow." In other words, I did not include the balances on these accounts in my starting cash flow and I do not use the equity or credit in them to execute my spending plan. For a credit card that is part of your cash flow/spending plan (meaning you use it on a recurring basis to make purchases that you account for in your spending plan), I think you could run into problems if you do not assign the interest charge to a bucket. Over a period of time (a long period it the interest amount is small, or shorter if the interest amount is larger) if you didn't assign these transactions to a bucket, you would think that you had more money than you actually do. Suppose you go through the year and you accumulate $500 worth of interest charges on your credit card. If you don't assign these interest charges to buckets, you reduce the cash you have available by increasing the balance on your credit card without reducing the amount of money in your buckets. This will create a $500 difference between the cash you actually have on hand and the amount that your buckets are telling you that you have. Given a long enough period of time, or large enough interest charges, you could end up with a situation where your cash available doesn't "cover" the amount in your buckets. Grace to you, Blair On Jun 9, 2009, at 4:59 PM, Dave wrote: > > Hello! I am wondering what everyone does for their finance charges. Do > you put them in a bucket or not? Technically, you wouldn't have to b/c > you are paying the charge and the payment at the same time. But I > could see the other side too. > > What is the gist? > > Thanks! > > --~--~-~--~~~---~--~~ You received this message because you are subscribed to the Google Groups "No Thirst Software User Forum" group. To post to this group, send email to no-thirst-software@googlegroups.com To unsubscribe from this group, send email to no-thirst-software+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/no-thirst-software?hl=en -~--~~~~--~~--~--~---
[No Thirst Software] Re: Credit Card Buckets for Finance Charges???
Kevin, this may be an insanely stupid question but why wouldn't credit card interest affect your cash flow? Where does the interest money come from in the end? Karen On 10-Jun-09, at 2:11 PM, Kevin Hoctor wrote: > > On Jun 9, 2009, at 2:59 PM, Dave wrote: > >> Hello! I am wondering what everyone does for their finance charges. >> Do >> you put them in a bucket or not? Technically, you wouldn't have to >> b/c >> you are paying the charge and the payment at the same time. But I >> could see the other side too. >> >> What is the gist? > > > Dave, > > I assign bank charges to a Bank Charges bucket but not credit card > interest charges because they don't affect my cash flow. > > Peace, > > Kevin Hoctor > ke...@nothirst.com > No Thirst Software LLC > http://nothirst.com > http://kevinhoctor.blogspot.com > > > > --~--~-~--~~~---~--~~ You received this message because you are subscribed to the Google Groups "No Thirst Software User Forum" group. To post to this group, send email to no-thirst-software@googlegroups.com To unsubscribe from this group, send email to no-thirst-software+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/no-thirst-software?hl=en -~--~~~~--~~--~--~---
[No Thirst Software] Re: Credit Card Buckets for Finance Charges???
On Jun 9, 2009, at 2:59 PM, Dave wrote: > Hello! I am wondering what everyone does for their finance charges. Do > you put them in a bucket or not? Technically, you wouldn't have to b/c > you are paying the charge and the payment at the same time. But I > could see the other side too. > > What is the gist? Dave, I assign bank charges to a Bank Charges bucket but not credit card interest charges because they don't affect my cash flow. Peace, Kevin Hoctor ke...@nothirst.com No Thirst Software LLC http://nothirst.com http://kevinhoctor.blogspot.com --~--~-~--~~~---~--~~ You received this message because you are subscribed to the Google Groups "No Thirst Software User Forum" group. To post to this group, send email to no-thirst-software@googlegroups.com To unsubscribe from this group, send email to no-thirst-software+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/no-thirst-software?hl=en -~--~~~~--~~--~--~---
[No Thirst Software] Re: Credit Card Buckets for Finance Charges???
Hi Dave... I have a "Bank Fees" bucket for all fees charged by the banks including credit cards. I'm not sure why--they just make me mad. :-) Karen On 9-Jun-09, at 6:59 PM, Dave wrote: > > Hello! I am wondering what everyone does for their finance charges. Do > you put them in a bucket or not? Technically, you wouldn't have to b/c > you are paying the charge and the payment at the same time. But I > could see the other side too. > > What is the gist? > > Thanks! > > --~--~-~--~~~---~--~~ You received this message because you are subscribed to the Google Groups "No Thirst Software User Forum" group. To post to this group, send email to no-thirst-software@googlegroups.com To unsubscribe from this group, send email to no-thirst-software+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/no-thirst-software?hl=en -~--~~~~--~~--~--~---
[No Thirst Software] Re: Credit Card Buckets for Finance Charges???
On Tue, Jun 9, 2009 at 2:59 PM, Dave wrote: > > Hello! I am wondering what everyone does for their finance charges. Do > you put them in a bucket or not? Technically, you wouldn't have to b/c > you are paying the charge and the payment at the same time. But I > could see the other side too. > > What is the gist? I don't track my credit cards, but I do get monthly bank charges on my checking account, and I charge those against a "Bank Charges" bucket. As for finance charges, they do technically affect your credit card balance, so not all your payment goes against the principal. It would be hard to split out the charge every month. To keep your card balance in line, you could create that finance charge transaction and mark the transaction "Bucket Optional". Others may have better ideas. Patrick --~--~-~--~~~---~--~~ You received this message because you are subscribed to the Google Groups "No Thirst Software User Forum" group. To post to this group, send email to no-thirst-software@googlegroups.com To unsubscribe from this group, send email to no-thirst-software+unsubscr...@googlegroups.com For more options, visit this group at http://groups.google.com/group/no-thirst-software?hl=en -~--~~~~--~~--~--~---
