For reconciling biweekly paychecks with monthly expenses and budgeting.

  • mortgage payment: fund a month ahead. By 28th of the month, next month should be funded. This month’s money goes to next month’s payment.
    • If next month’s payment is already funded (3-paycheck months), don’t need to fund mortgage until next check. Save some.
  • monthly recurring (e.g. bills): fund half a month ahead. By start of month, half the payment should be funded. Halfway through the month, should be fully funded.
  • monthly goals (e.g. saving toward property tax): as monthly recurring.
  • non-recurring (e.g. food): fund 2 weeks out, split across months.
    • Take target for the month (e.g. monthly average), divide by 30 ~= 3.3% per day. Allocate to days left in current month, then days next month up until next check.
    • 14/30 = 0.47 ≈ 0.5
  • buffers (e.g. medical, vacation): fund in current month as available.