Understanding the Basics of MoneyMinder

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Understanding the basics of how MoneyMinder works makes it easier to get set up and work inside the app. Knowing how the Budget, Banking, and Reports fit together is key.

First, let’s briefly look at the Budget. You may hear this referred to as the Chart of Accounts in other apps, but in MoneyMinder, it’s called the Budget.

It’s important to know that budget categories are what the reports track. Headings and subheadings are simply there to help organize the budget.

When setting up a budget, keep in mind that Budgeted Income is money that you expect to bring in during the financial year. Budgeted Expenses is money that you expect to spend during the financial year.

Here is an example of a partial budget for a Homeowners’ Association.

The budget is your plan is usually static and set for the year. As transactions are recorded, they’re applied to budget categories and show up as actuals on reports.

Let’s take a look.

In this transaction, the HOA paid Winter Wonder $775.00 for snow removal. This withdrawal has been applied to the Snow Removal budget category.

What does this look like on the Treasurer’s Report?

The $775.00 applied to the Snow Removal category can be seen in the Expenses column in the Treasurer’s Report. This shows that $775.00 in actual expenses have been incurred in the Snow Removal category. $1,500.00 was budgeted, leaving $725.00 left to spend.

Let’s look at one more transaction.

In this deposit, three homeowners have paid HOA dues. This $1,500.00 transaction has been split to reflect the amounts paid by each homeowner, and each split has been applied to the HOA Dues budget category.

Let’s see what this transaction looks like on the Treasurer’s Report:

This time, since money was deposited, the $1,500.00 shows in the Income column. This shows that $1,500.00 in actual income has been received in the HOA Dues category. $14,000.00 was budgeted, so there is still $12,500.00 left to bring in.

So just to recap, the budget is your plan for the year and mostly stays static. As transactions are recorded, they are applied to budget categories and show up as actuals on reports.

Budget (the plan) → Transactions (plan in action) → Reports (actuals compared to plan)