Default budget amounts on the Budget page are auto-populated based on the average of the past three months for each category. If these are not appearing as expected, you can press the Recalculate button (or the calculator icon in the mobile app) to update them.
You can work in either Monthly mode (one budget amount per category) or Annual mode (amounts per category for each calendar month). The first time you switch to Annual, your current monthly amounts are copied into all twelve months; after that, monthly and annual budgets are stored separately. Monthly is one target per category, if you want a simple approach and the same numbers that roll forward each month. Annual lets you set different amounts for January - December, if you want to account for seasonal income or expenses (e.g. utilities, holidays). When you edit a month in Annual mode, you can optionally apply that amount from that month through December in one step, or apply it to all twelve months at once, using the choices shown next to the input.
Adjust category budget amounts to match your financial objectives and forecast of future income and spending. The default 3-month averages are designed to be a good starting point, but you should adjust them to match your financial situation and goals. For example, if you want to pay down your student loans faster, you can increase your Loan Payments budget, while still maintaining a target Savings (e.g. $1,000) or Savings Rate (e.g. 15%). BudgetBadger is designed to be a flexible tool, but does not provide personalized financial advice.
Use your budget as a guide to stay on track. Good times to update include: (1) At the start of a month when you expect spending to shift, (2) After major life changes, (3) When you consistently run over or under plan, (4) When you set new goals. If you use Annual budgeting, you may also want seasonal check-ins (e.g., utilities or holidays). Regular monthly or quarterly reviews help your plan match reality.
Savings Rate is the percentage of your total income that you are saving each month. It is calculated as (Savings / Total Income) × 100%. If your income is direct deposited after taxes into your synced bank account(s), then your Savings Rate will reflect your savings as a percentage of net income after taxes.
Remaining Savings represents the monthly savings leftover in your synced bank accounts (checking and savings) after your monthly expenses, debt payments, and investment contributions. Positive Remaining Savings indicate you are spending less than you earn and building cash reserves.