The YNAB Podcast

It's not too late! The first rule of YNAB's Four Rules is "give every dollar a job," and you can implement it right now. Take a look at your bank account balance, and think to yourself: what does this money need to do for me right now? What does it need to do for me in the future? Now you have started thinking about your future self, and being proactive. This simple step can change your life!   Tickets to YNAB Fan Fest 2025 are on sale now! Coming to San Diego, Minneapolis, and NYC: YNAB.com/events   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

Jesse grew up in a frugal family -- frugality for frugality's sake, as he describes it. As he has grown, discovered the YNAB method, and worked the four rules, he has come to a conclusion -- he is not even a little frugal! Frugality implies thrift, spending little money so as to conserve the resource. The idea is that spending money frugally is an effort to not waste money.   YNAB's four rules help you identify the things that matter in your life, however, the things you do want to spend money on. And once you have identified those things, Jesse challenges you to double down and spend more on the things that matter to you. As he has mentioned in other episodes, money is just an extension of you, and if money is you, then why would you want less of you in the world?    So Jesse is not frugal. Not even a little bit!   Get your tickets to YNAB Fan Fest 2025! Coming to San Diego, Minneapolis, and NYC. Tickets are ON SALE NOW: YNAB.com/events   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

It's common parlance to say someone is "good with money," but it's often said in a way that suggests some people are innately gifted with money management skills. Jesse punches back at this supposition. He argues that becoming good with money is a skill, and skills are acquired through habit -- stringing together a lot of days with good money decisions until the good decisions become second nature.   You don't have to be perfect either! Jesse cites his favorite definition of intelligence, which is error correction, i.e. someone who makes an error, realizes the error, and then fixes it, demonstrates intelligence. It turns out, error correction is built into YNAB's four habits: rolling with the punches is the process of reacting to new circumstances by reallocating money as needed. Then, in the future you can plan for those new circumstances by embracing them as part of your true expenses (habit #2).   Next time you catch yourself thinking "I'm not good with money," focus on making one good decision, then another the next day, then correcting your errors... until it becomes another skill you have acquired!   Get your tickets to YNAB Fan Fest 2025! Coming to San Diego, Minneapolis, and NYC. Tickets are ON SALE NOW: YNAB.com/events   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

Most folks do a lot of mental math with their money. They see something they want to buy, they check their bank balance, and start doing some mental math on what other things that balance needs to be able to pay for before they buy the thing. The problem is, mental math gets very sloppy very quickly! Life is often just too complex, with too many variables to be able to hold all your future spending needs in your head at all times. It's too easy to spend the same dollar many times over when you rely on mental math.   YNAB helps you do money differently. YNAB gives you a simple four step method for identifying all the things your money needs to do for you now, the major things it needs to do for you in the future, and, over time, getting you to start paying next month's bills with today's money so you can finally get ahead.   Get your tickets to YNAB Fan Fest 2025! Coming to San Diego, Minneapolis, and NYC. Tickets will go on sale on 11/18/2024 here: YNAB.com/events   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

Sometimes YNAB'ers talk about money being "boring." That is, working the Four Rules patientily, consistently, until managing your money becomes another daily habit. As Jesse sees it, however, there's nothing boring about working the method. Each time you work the method, and follow the four rules, you learn more about yourself and what you want your money to do for you. And there's nothing boring about you!   Get your tickets to YNAB Fan Fest 2025! Coming to San Diego, Minneapolis, and NYC. Tickets will go on sale on 11/18/2024 here: YNAB.com/events   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

It is generally accepted that the market is driven by demand. What if YNAB was really just a long con to generate demand for quality goods and services... like toasters?   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

Jesse's back with another round of Ask Jesse, where he answers questions in his inbox. In today's episode, Jesse discusses his recent engagement with Marx's Das Kapital (he gave up on it), gives an update on his debit and credit card usage, and explains how too much awareness around your investments can end up be a negative.   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

One of Jesse's takeaway from the recent YNAB Fan Fest in Salt Lake City is that YNAB'ers are good at iterating. They make a plan for their money, spend the money, and reflect on whether the spending was on things they were really looking for. Then, they adjust the plan. In the process, they're not just learning how to manage money, they're learning more about themselves.   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

We've all done it before, saying something to the effect of: "I'd love to do X, if only I could afford it." We have all cited money as the reason we haven't done something, or bought something we say we wanted. The next time you catch yourself saying this, Jesse urges you to stop and examine why it is you are blaming money for the reason you can't do (or buy) the thing. Is it because you really want to do/buy it, or because you're seeking escape from some other uncomfortable part of your life? If you really DO want the thing, but you're blaming lack of money for it, perhaps you are feeling frustration that you have allowed less important priorities to get in the way of saving for the thing.   Whatever it is, money is not a good excuse for not doing something you really want to do. But, we blame money because there is some real friction we are experiencing, so it's worth honoring the feeling and digging deeper to figure out what's driving it. In that way, we can stop wielding money against ourselves and allow money to work with ourselves.     Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

Bigger bank account balances, paying off debt, saving marriages... these are all things thousands of YNAB'ers have praised YNAB for helping them accomplish. But it's not what YNAB is about. Jesse explains: YNAB is really about getting to know yourself better, and making better spending decisions as a result. It's about reducing the second guessing in your life, and spending your money in perfect alignment with you.     Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

Using YNAB reveals a paradox about money -- the more you engage with it, and spend time and energy on it, the more it gets out of the way and just let's you live your life. Money is you, so  learning how to manage it really means learning more about yourself and becoming more in tune with your desires, your values, and your priorities.   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @ynabofficial Instagram: @ynab.official Twitter/X: @ynab Tik Tok: @ynabofficial

When you practice the four habits of YNAB, money just gets out of the way. In today's episode, Jesse reflects on his thought process about paying for kids' college. Where he used to be against it, now that he has kids in college, he is helping them pay for it. As he has talked about on the podcast many times, his thoughts and opinions change over the time; the podcast is a sort of audio journal documenting these changes. But the real win here is that because Jesse and his wife put money aside for their kids, they were able to make this decision without worrying about money. The money was not a deciding factor, leaving them free to decide whether helping their kids with college was the best decision for them. And that is freeing!   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @iYNAB Instagram: @youneedabudget Twitter: @ynab Tik Tok: @ynabofficial

Twenty years ago, in a galaxy far, far away... Jesse Mecham launched youneedabudget.com with a budgeting spreadsheet and a modest goal: cover the $350 a month in rent he owed for the next couple years until he and his wife graduated from college. Since then, YNAB has grown leaps and bounds beyond Jesse's original idea. In today's episode, Jesse reflects on the last two decades, thanks the people who have made it happen (most importantly YOU, YNAB users!), and wonders what the next two decades have in store.     Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @iYNAB Instagram: @youneedabudget Twitter: @ynab Tik Tok: @ynabofficial

Jesse shares a YNAB win from his strength coach, Andrew, who is an avid YNAB'er. Andrew was shopping at REI when he ran across a pair of returned ski boots that were marked way down. They fit perfectly. Normally he would hem and haw over a purchase like this, but because he had been slowly funding a category for new ski boots the money was there. No stress, all joy!   Barbell Logic -- Personalized Online Strength Coaching https://barbell-logic.com   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @iYNAB Instagram: @youneedabudget Twitter: @ynab Tik Tok: @ynabofficial

Many people bemoan the fact that they don't earn more money. But what baffles many who eventually do earn more money, is that it doesn't fix any of their financial problems! There is no income that cannot be outspent. Put another way, broken spending habits lead to broken spending, and when you have more money, that just leads to more broken spending.   Now, there are people who have a legitimate income problem, but those folks are fewer in number than you might think. The solution for most isn't more, it's spending with purpose!   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @iYNAB Instagram: @youneedabudget Twitter: @ynab Tik Tok: @ynabofficial

The first habit of YNAB is to give every dollar a job. We tend to think of it purely as a spending exercise, as in, what do these dollars need to do for me? Buy clothes, groceries, pay the rent, etc. But Jesse points out how this process of giving your dollars jobs can help you find more meaning in your earning, not just your spending. When you know what your dollars are doing for you, the way you earn those dollars takes on more meaning, even if the work is not intrinsically meaningful.   Beginning Balance Podcast Apple: https://podcasts.apple.com/us/podcast/beginning-balance/id1569423517 Spotify: https://open.spotify.com/show/7APubdzXN2eeeMdNpCLkiy?si=757aff0c35ad4178   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @iYNAB Instagram: @youneedabudget Twitter: @ynab Tik Tok: @ynabofficial

Money sinks its tentacles into nearly everything, and those tentacles can feel like, well, tentacles, or they can feel like rainbows. Jesse wants you to look at money and see rainbows, blessing all the facets of life that money touches.     Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @iYNAB Instagram: @youneedabudget Twitter: @ynab Tik Tok: @ynabofficial

Frugality is a virtue. At least, that's what many people in the financial space would claim. Being frugal is commonly seen as a good thing, presumably because it enables you to save more money. The environmentally conscious might see value in frugality as a means to reducing overall consumption. YNAB, one could argue, aims to make you more frugal. But YNAB is more interested in a deeper question: why be more frugal?   The first habit in the YNAB method is to give every dollar a job. To do so, you have to know what it is you want your money to do for you, where you are aiming at. Saving money is a great thing, but YNAB encourages you to ask the question: for what?   Being frugal is not an answer. It is merely the means by which you get to the answer!   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @iYNAB Instagram: @youneedabudget Twitter: @ynab Tik Tok: @ynabofficial

Jesse shares a story about taking a group of kids hiking, and coming down with altitude sickness on the first day. He could have quit, but he figured out a way to re-route the hike where he could safely get through. It's not so different when working with personal finances. It's tempting to just quit when things get hard, or road blocks come up, but sometimes all you need to do is slow down your plans.   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @iYNAB Instagram: @youneedabudget Twitter: @ynab Tik Tok: @ynabofficial

Big financial goals are great. It's what we live for at YNAB! But, life happens in between those big goals, and Jesse reminds you that it's ok to spend some money "in the meantime."   Got a question for Jesse? Send him an email: askjesse@ynab.com   Sign up for a free 34-day trial of YNAB at www.youneedabudget.com   Follow YNAB on social media: Facebook: @iYNAB Instagram: @youneedabudget Twitter: @ynab Tik Tok: @ynabofficial