A Better Way to Manage Your Everyday Money - Book - Page 218
Pay bills
Paying bills for the first time in a new cashflow space requires preparation to initialize your
current financial situation.
● Calculate your startup allowance.
● Initialize the cashflow space’s checking account.
○ Deposit any cash you have on hand.
○ Withdraw your startup allowance.
○ In PerNetFlow, enter the available balance.
● Initialize credit card activity.
○ Enter outstanding credit card charges and refunds.
○ Schedule credit card payments.
● Pay bills the first time
○ Review column one.
○ Pay bills.
Calculate your startup allowance
If there are one or more days between the spreadsheet column date when you will be paying bills
and when you get your first allowance, you might need a startup allowance to give you enough
out-of-pocket spending money until you get your first full allowance. Continuing with the
allowance example:
● Calculate your daily allowance rate by dividing your weekly allowance by seven.
$250 / 7 = $35.71.
● Multiply your daily allowance rate by the number of days from when you will be paying
bills until the day before you will get your first full allowance. In the example, you will
be paying bills on 11/1/2024 and getting your first full allowance six days later on
11/7/2024.
$35.71 * 6 = $214.26.
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