Re:Plain Text Accounting
by BeetleB on Tuesday January 12, 2021 @04:21PM
(#25753896)
> When you need to spend some significant unplanned sum you take it out of savings, if you have any. If not, you eat less or go into debt.
Doing detailed accounting helps prevent you from that "go into debt" scenario.
Typical long term things people forget to save for:
- Their next car
- Car Repairs
- House repairs
- New roof for house
Etc.
With detailed accounting, you can set money aside for these things, and then when you suddenly decide to go on a vacation, you know how much money you need to leave aside in your savings to cover the above.
Doing detailed accounting helps prevent you from that "go into debt" scenario.
Typical long term things people forget to save for:
- Their next car
- Car Repairs
- House repairs
- New roof for house
Etc.
With detailed accounting, you can set money aside for these things, and then when you suddenly decide to go on a vacation, you know how much money you need to leave aside in your savings to cover the above.