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Zero-Based Budgeting

Skwad's budgeting is zero-based by default, without any micro-management. To get the most out of it, keep a few things in mind:

What does “zero-based” mean in Skwad?​

Zero-based means you give every dollar of income a job each month. Income itself does not roll over, but your category balances can when you use rollover categories.

See the overview for a quick primer: Budgeting Overview

Do I really need to assign every dollar?​

Yes. Aim to fully assign all income each month. If you have extra after covering essentials, move it to savings, sinking funds, or a "Buffer" category so nothing is left idle.

Where should I put extra income or unassigned funds?​

  • Create one or more rollover categories (for example: Emergency Fund, Travel, Annual Bills, or Next Month Buffer)
  • Move extra income there so it’s intentionally allocated

Rollover Categories keep unused amounts available in future months.

How do I create a Sinking Fund?​

  1. Create a 'Sinking Fund' rollover category
  2. Make sure the default amount is 0 (no default allocation)
  3. If you already have some savings, set the starting balance and date.

Your sinking fund will now be available for you to allocate excess income or withdraw when you need some padding.

How do I budget for purchases made in advance or in a different month?​

Use Pushing-forward to set an effective budget date for a transaction (up to 2 years ahead). This keeps your transaction date accurate while aligning the budget impact to the intended period.

If you’re new to Skwad, start with our Quick Start Guide.