Long-term planning with an envelope budget?
Envelope budgets are excellent for being real, and keeping you honest in the here-and-now.
However, the smaller your savings accounts are, the harder it is to project forward and create a budget that makes sense considering your longest term goals. For example, if your income is expected to change in three months, how do you budget today?
I have seen many people suggest that budgeting truly "clicked" for them when they made an annual budget. They took their prospective income for the entire year, and placed that virtual money into envelopes. Then they applied this to their current month. However, those who are most successful seem to keep updating the annual budget with current spending so it can adjust.
I'd love to apply this annual budgeting concept for how I use YNAB, though I'm a little confused how to approach this. I'm hoping I don't need to duplicate things in a spreadsheet.
Posted Nov 28, 2025, 5:36 PM UTC