Credit Card Refunds & Rewards

If you're the proud recipient of a hard-earned cash back reward or a refund, you might be wondering—which category should I select? It's an inflow, so we'll default to categorizing it that way by choosing Inflow: To be Budgeted.

Since it's an inflow to a credit card account, though, you won't see To be Budgeted increase—unless it created a positive balance on the card. It simply reduces the balance owed on that card. This accurately reflects what happened in your account: the credit is applied, and now you owe less money.

If you're working to pay down debt, you're that much closer now!

But what if you had already budgeted for the entire balance on the card? Let's say you owed $475 before receiving a refund or cash back for $75—and you already had the full $475 set aside in your Credit Card Payment category. Now you only owe $400.

You have $75 you can move to other categories of your choice.

Can you categorize refunds and cash back directly to, say, your Clothing category? Yes, you can! Just make sure you have enough to cover your full credit card payment before you do.

Still need help? Contact Us Contact Us