Pinterest Stumbleupon Whatsapp
Ads by Google

Let’s face it: creating and managing a budget 10 Money Management Tools Inside Google Drive You Should Use Today 10 Money Management Tools Inside Google Drive You Should Use Today The problem with money is that if you don't manage it, you end up without it. How about some useful money management tools to help you get started right inside your Google Drive account? Read More that actually works can be really hard, and that’s why so many people don’t have one. Thankfully, there’s a very simple and easy way to manage your weekly and monthly budgets using Trello.

If you’re unfamiliar with Trello, it’s a web app that lets you manage anything 10 Unique Uses of Trello Other Than Project Management 10 Unique Uses of Trello Other Than Project Management Trello is a list lover's delight. Its Kanban-style approach was not meant just for project management. Don't believe us? Look at these ten unique uses of Trello. Read More using lists of “cards.” Cards can contain any information that you want, and you can easily move cards around from one list to the next with a click and drag of the mouse.

So how can lists of cards help you build and manage a better budget? The secret comes from using this convenient “card shuffle” to manage your flow of money from income all the way down the line to your savings.

Starting Your Trello Budget

Most standard budgets Manage Your Budget & Expenses Using Google Budgeting Tools Manage Your Budget & Expenses Using Google Budgeting Tools Read More include starting out with your income on the top line, listing all of your expenses and bills below it, subtracting them out, and assigning whatever you have left to savings or discretionary spending.

There are a lot of problems with this approach, the most important being that it’s very difficult to manage when you receive bi-weekly paychecks and need to track where that income is going. Trello can help, but first you need to create an initial list that includes every single one of your fixed monthly bills — things like mortgage payments and utilities.

trello-budget1

Ads by Google

Make sure to include due dates for each of these bills so you can easily see which ones are due soon or in the distant future. Trello also features a nice bright red highlight on due dates that have gone by or are coming up soon.

Next, you’ll create a list for each the paychecks you will be receiving. Title these lists with the source of the income (probably the name of your employer), the date you’ll be receiving the check, and the amount.

Then go through your expenses that are either past due, or due soon, and copy those.

trello-budget2

When you copy the bill, you’ll have the option to place the copy in a different list. Select the paycheck list that you’ve just created and choose Create Card.

trello-budget3

Now you have a list for each of your paychecks for the coming month. Using the approach above, you can allocate which check will go toward which bill based on the due date of those bills.

Track Paid Bills with Labels

One of the more useful features of Trello is the ability to label cards. In the area of budgeting, this is really helpful for tracking the bills that you’ve already paid this month. When you pay a bill, just click the card and select Labels.

trello-budget10

In my case, I usually label the ones I’ve paid with green.

trello-budget11

If you want to, you could flag the bills that you can’t pay right away, and need to be late on, with something like yellow or red. This way, when you get your next paycheck, you’ll know which ones to go after right away.

How Much Is Left After Bills?

Once you’ve allocated those individual bills under the income lists, it’s time to figure out how much of those paychecks you’ll have left after you pay the fixed bills. Unfortunately, Trello doesn’t have an automatic calculation feature, so you’ll need to open up the calculator utility on your computer and subtract them out yourself. Create a card at the bottom of the list showing the amount remaining.

trello-budget4

Now you know what you’ve got to play with for remaining variable bills like groceries, gas, dining out, and other expenses.

On the right side of your income lists, you’ll want to create another list with all of your average variable monthly expenses. If you have a hard time estimating what these come to every month, you can easily figure it out by exporting your bank statement for the past 3 months to Excel, and spend some time sorting all of your expenses into categories.

Sort those by category, and add everything up by category for each month. Average what you typically spend in each category over the past three months, and use that number for budget items in the variable expenses list.

trello-budget5

Now, in between your variable expenses list and your income lists, you’ll want to create a list for each two-week period of the month that represents the time between each paycheck. The top of this list should be a copy of the “remaining amount” card you calculated just a moment ago. This is your starting point for making sure you have enough left after paying bills, to pay for things like groceries.

As you can see from the image above, it didn’t take me long to figure out that I had allocated too much to pay fixed bills, and there wasn’t enough left for the week’s expenses. So I went back to the bill payment list, removed a couple of big bills (they’ll just have to be paid late), recalculated the remaining amount, and put that new amount back into the bi-weekly list.

trello-budget6

Now it’s clear that I have enough for groceries and gas, with almost $400 remaining. If you know you’re going to want to dine out during this two week period, copy the “Dining Out” card over to the week’s list and subtract. If you know you’re going to have to refill your prescription, copy the “Medicine” card over to the week’s list and subtract.

Organizing Your Savings Plan

Once you’ve got all of your bills and variable expenses for the two weeks between this paycheck and your next paycheck out of the way, you know how much money you have left for your savings plans.

The “Savings” list will be the last list in your Trello budget. This will be a list of things that you hope to allocate remaining funds to. It can be a vacation, a new car, or an additional retirement savings plan (maybe a Roth IRA in addition to your existing 401k). Don’t forget to save for those things 5 Money-Saving Tips You Must Know Before Buying a New Laptop 5 Money-Saving Tips You Must Know Before Buying a New Laptop Keep these five tips in mind next time you're shopping for a laptop and you could save hundreds of dollars. Read More that you need to be ready for, like car repairs or home heating oil.

trello-budget8

At this point, you need to take the remaining amount once you’ve allocated the variable expenses for the next couple of weeks and distribute that amount across as many of the savings items in the Savings list as possible.

You “allocate” an amount by adding a comment to that card with the date and the amount that you’ve added. Then, modify the title of that card so it shows the total amount that you’ve saved so far.
trello-budget7

Every time you allocate a portion of your paycheck to the “Savings” list, you should actually go into your banking account and transfer that savings total to your savings account, so you won’t “accidentally” spend that money on other things that aren’t in your existing budget.

trello-budget9

As you can see, the process of using Trello for budgeting is fairly simple. It’s a flow of funds from left to right from one list to the next until what remains ends up in your savings account — as it should be.

The nice thing about this system is that it is much more fluid and intuitive than a spreadsheet 10 Helpful Spreadsheet Templates To Help Manage Your Finances 10 Helpful Spreadsheet Templates To Help Manage Your Finances Wouldn't it be great if you knew where your money was, at all times? Read More with a big wall of numbers. Trello lets you organize bills, income, variable spending, and saving in ways How to Slash Your Household Expenses in 7 Easy Steps How to Slash Your Household Expenses in 7 Easy Steps Tired of seeing all of your income go towards bills and expenses? You aren't alone. We show you some of the best ways to slash your household expenses. Read More that let you see where all of your biggest spending is. This gives you an opportunity to see if you can shrink those cards that keep draining so much of your income every time you get paid. It also shows you where you could be saving more, because each of your savings goals has a clear balance that you can use to show progress toward those goals.

Have you ever used Trello, or a tool like it, to manage your budget? Share your experiences and your own pros and cons about using Trello for budgeting, in the comments section below.

  1. Valerie Hall
    July 5, 2016 at 11:39 pm

    I am really capable with spreadsheets, and they make sense for the calculations, but for the process of paying bills (repeating task, vs just seeing it in a spreadsheet), planning, and managing a budget, this looks like exactly what I need.

  2. Gil
    May 27, 2016 at 4:33 am

    What's the problem with adding commulative capabilities to Trello ?
    Add a numerical field(s) to each card, and let the user have the option to sum/subtract/ do any math with it in order to see the commulative result it on the title of the List.
    This can enhanced more by other options like MIN/MAX of the DueDate, and so on, just need a little bit of creativity.
    Simple enhancement that can do a lot.

  3. Jason
    May 26, 2016 at 2:14 am

    I use Trello in conjunction with budgeting software to track how my monthly bills will fall and one-time expenses to plan for. I agree with you on this system. I love how fluid Trello is to add, move and remove items. Plus, descriptions and attachments are great for adding detailed expense information. Spreadsheets never stuck with me. But I do wish Trello could calculate numbers.

    My setup is very similar to yours with the exception of copying cards. I just move recurring expenses to the next list when ready. Thanks for sharing your set up!

  4. SB
    May 25, 2016 at 4:07 pm

    Just because trello is good doesn't make it useful for everything. Use a spreadsheet for budgets. It CAN subtract and add! This is way too cumbersome a "solution"

    • Ryan Dube
      May 25, 2016 at 11:54 pm

      That's good feedback -- I think spreadsheets are good for certain types of people, the number crunchers specifically. Trello is a very visual, hands-on experience where you physically move things around -- it appeals to a different breed of people I think. Left brained vs. right brained is what I think it boils down to.

  5. Brent William
    May 25, 2016 at 11:23 am

    This is a lot less useful than the legion of budgeting apps or a spreadsheet

    • Ryan Dube
      May 25, 2016 at 11:56 pm

      Thanks Brent - as I mentioned above, I tried to look at it from a different perspective. I do love the spreadsheet approach, but I've encountered a lot of people who look at spreadsheets and run away in fear. Trello can offer an alternative for people who prefer more a more visual and fluid approach to looking at the budget.

Leave a Reply

Your email address will not be published. Required fields are marked *