What is "In My Pocket"?
Simply put, "In My Pocket" shows how much money you can save or spend on everything else, after setting aside enough to cover your Bills, Budgets, and Goals.
How does "In My Pocket" work?
You should remember that connecting all your checking and credit accounts is essential for In My Pocket calculation. PocketGuard will try to identify your Recurring Income and Bills. Moreover, this will help to calculate your total spent amount. We also include your Goal contributions in the calculations.
How do we calculate "In My Pocket"?
Your “In My Pocket” starts over on the 1st of each month and shows how much money you have for monthly/daily spendings.
NOTE: leftovers are not rolled over to the next month. In PocketGuard the leftover money is considered as savings.
The equation for the monthly IMP looks like this:
- Estimated income - your earned and upcoming income. Earned income is calculated as a sum of all transactions with the "Income" category (Recurring Income);
- Upcoming bills - your future bills (once the bill is paid, it will NOT be longer counted in “Upcoming bills” and will move to the “Spending&Budgets” calculation in “Everything else” (unbudgeted categories) (Bills);
- Goals - the sum of all monthly contributions for your savings goals (Goals);
- Spending&Budgets - the money you allocate for Category budgets and spendings for “Everything else” (unbudgeted categories);
You can also tap See your budget to see the breakdown of your "In My Pocket".
Do transfers count towards "In My Pocket"?
PocketGuard automatically detects transfers between your banks and credit cards and excludes them from calculations, to avoid double counting.
To change that, just toggle the “Don’t count” option off for a specific debit transaction (marked with “FROM” stamp) or credit transaction (marked with “TO” stamp).
My "In My Pocket" is negative even though I have money in my account. Why is that?
The idea behind IN MY POCKET is to help users spend less than they earn. This is why your “In My Pocket” is unrelated to your available balance and solely depends on your income. If you have unusual spending like paying taxes or planning a vacation out of your savings, we recommend marking excluding the transaction from calculations (Transaction details > toggle "Don't count").