Vertex42 Money Manager

INSTRUCTIONS

2010-2014 Vertex42 LLC

For Excel 2010 or Later

Intro
The Vertex42 Money Manager can be a very simple money management tool. Like most
spreadsheet applications, you should know that spreadsheets are error-prone. It is easy to
make mistakes, accidentally delete things that should not be deleted, forget to copy formulas,
etc. If you are comfortable using Excel, know how to identify and fix formulas when needed,
understand how to use basic row operations (delete, copy, inserted copied rows, etc.), are
okay with the level of risk you take on by using a spreadsheet, and follow the instructions
and guidelines, you should find this spreadsheet very useful.
General Tips
- Except for customizing the categories, you normally only edit cells with a gray border:
This is an example
- Some of the labels include cell comments
comment. (marked with little red triangles) to provide
extra help information.
- You can add your own cell comments! This is especially useful in the Budget worksheet,
where you can create notes to explain irregular or variable expenses.
- If you see "#####" in a cell, widen the COLUMN to display the cell contents.
- This workbook uses a lot of conditional formatting. Look up "conditional formatting" in the
Excel help system (F1) if you want to know how it works.
- You can add a limited amount of security by password protecting your workbook, but that
can be easily bypassed by anyone with malicious intent. The security of your data is your
responsibility.
- Backup your file regularly to avoid losing data! Excel files DO get corrupted occasionally.

Step 1 Customize Categories (or don't)

The easiest way to get started is to just use the default set of budget categories.
If you need to make changes to the categories, make sure that you make corresponding
changes in ALL the other worksheets.
TIP: If you are going to customize the categories, it may be easier to start from the Budget
worksheet and then make sure that the Report and Categories worksheets correspond.
A. If you ADD or DELETE Categories, make sure that you use row operations (copying or
deleting entire rows) to help ensure that all formulas are copied correctly. Always insert
new rows between the first and last item in the category. If you insert a row immediately
above the "Total" or "Subtotal" row, formulas will not stretch to include the row you inserted.
B. Category names in all the worksheets must match exactly. Conditional formatting is used
to highlight the category names if the categories are not found in the Categories worksheet.
C. No Duplicate Category Names
Using duplicate category names like "Other" will result in errors, but you may not easily
notice the errors. Make sure that each category is UNIQUE.
D. Do Not Remove or Add Major Categories

If you add or remove major categories (like Housing, Food, Health, etc.), many formulas
will need to be updated and it is very likely you'll miss something and end up introducing
errors. Try to use the default set of categories or RENAME the categories, but avoid adding
or removing the major categories.

Step 2 Define Your List of Accounts

List the accounts that you want to include in the Transaction History worksheet in the
list to the right. This list will be used to populate the dropdown box in the Accounts column
of the Transactions worksheet.
TIP: If you start each account name with a different letter, Excel's autocomplete feature
will make entering the account much faster for you.

To add more accounts, insert rows above this line.

Step 3 Define your Yearly Budget

Define your budget using the Budget worksheet. Edit only the cells with the gray outline.
See Vertex42.com and the blog Vertex42Blog.com for tips on budgeting.
- For a Financial Year that does not start in January: Before entering your yearly budget,
go to the Report worksheet and enter the "Year Begins" date. This will update the month
labels in the Budget worksheet.
- You can copy and paste the input cells within the Budget worksheet as needed. For example,
enter an average fuel cost in January, then copy the value to other months.
- Use formulas to do basic calculations like "=245/6" to divide 245 by 6 or "=34*2" to multipy
34 by 2, or "=34+12+45" to add a bunch of numbers. Formulas are entered using the
equals "=" sign.

Step 4 Record Transactions

The Transactions worksheet lets you record transactions for multiple accounts. Think of a
PAYMENT as money leaving the account and a DEPOSIT as money entering the account.
Examples of different types of transactions are given below.
IMPORTANT: You must copy and paste entire rows when adding new rows, to ensure that all
the formatting, data validation, and formulas get copied correctly.
THE MOST COMMON ERROR is inserting a new row and forgetting to copy formulas down.
When you insert a blank row, some formatting is copied from the row above it automatically,
but formulas and data validation are not copied. You can press CTRL+d after inserting a new

row to quickly copy all formulas and formatting from the row immediately above.
Use the screenshot below as a guide for how to enter transactions.

Num: This column is usually used to list the check number, but you can also use it to enter
"DEP" for deposit, "TXFR" for transfer, "EFT" for electronic funds transfer, "ACH" for
Automated Clearing House transactions, etc.
Category: The Category field is essential to the functionality of this workbook. The Category
is a dropdown list that gets its info from the Categories worksheet.
The Category column uses conditional formatting to highlight the category PINK if the
category is not found in the Categories worksheet, BROWN if the category is not found in
the Yearly or Monthly worksheet, and GRAY if the category is blank, [Transfer], or [Balance]
If the formatting isn't copied correctly, you'll lose this double-check feature. So again, this
spreadsheet is not error-proof.
IMPORTANT: If you have chosen a category such as "Ted's Fund" and then later remove
"Ted's Fund" from the list in the Categories worksheet, it will not be changed in the Transactions
table automatically. You will need to make sure that you find all the records that have used
"Ted's Fund" as the Category and change them to something else.
Step 4-0: Delete the Sample Rows
Step 4-1: Enter the beginning balance(s):
The Beginning Balance on JANUARY 1st for each account should be the first lines in the
register. If an account has a Negative balance (like a Credit Card), enter the balance as a
Positive value in the PAYMENT column. If an account has a Positive balance, enter the balance
as a Positive value in the DEPOSIT column. Use the Account Balance column to compare to

the balance shown on your bank or credit card statements.

Step 4-2: Add New Transactions:
You will probably find that the fastest way to add new transactions is copy and paste similar
previous transactions. You can select one or more rows, copy them, and then paste them
below the last transaction. Then, you just need to edit the cells that need to be changed.
TIP: Always leave the last row in the table BLANK so that you can easily add new rows. To
add new rows, select the last row of the table (row 57 in the image below) and drag the fill
handle down to copy the row down to create as many new rows as you need.

Recording a SPLIT Transaction

If a single transaction needs to be allocated to multiple budget categories, you need to create
a SPLIT transaction. You can do this by splitting the transaction into multiple transactions one for each category. You can use the MEMO field to indicate that the transaction is a "Split".
ACCOUNT
Checking
Checking
Checking

DATE
1/1/10
1/1/10
1/1/10

NUM
2032
2032
2032

PAYEE
Target
Target
Target

MEMO
Split
Split
Split

CATEGORY
Clothing
Groceries
Supplies

PAYMENT
23.10
45.15
25.04

Tip: If you want to verify the total amount of the split transaction, you can do a quick
calculation off to the side of the table using an Excel formula, like "=SUM(H13:H15)"
Recording a [Transfer] Between Spending Accounts
Record a transfer by listing two transactions (one PAYMENT, one DEPOSIT) to offset each other.
Choose "[Transfer]" as the Category for both transactions. For example, a $250 credit card
payment would be recorded as a transfer FROM your checking TO your credit card account:
ACCOUNT
CreditCard
Checking

DATE
1/1/10
1/1/10

NUM
TXFR
TXFR

PAYEE
[From Checking]
[To CreditCard]

CATEGORY
[Transfer]
[Transfer]

PAYMENT

DEPOSIT
150.00

150.00

NOTE: The above example assumes that the "payment" to your Credit Card is to pay off the
charges that you have already recorded earlier in the Transaction History table for the
CreditCard account. If you are NOT recording individual CreditCard transactions using the
Transactions worksheet, or part of the $150.00 was to pay down an outstanding debt, then a
credit card payment would look like one of the following, where "Credit Card #1" is a category

under Obligations.
Example 1: Not using Credit Card #1 any more, but still owe money on it.
ACCOUNT
DATE
NUM
PAYEE
CATEGORY
Checking
1/1/10
Credit Card
Credit Card #1
Example 2: A portion of a
ACCOUNT
DATE
CreditCard 1/1/10
Checking
1/1/10
Checking
1/1/10

credit card payment used to

NUM
PAYEE
TXFR [From Checking]
TXFR [To CreditCard]
TXFR [To CreditCard]

PAYMENT
150.00

pay down $25.00 of outstanding debt.

MEMO
CATEGORY
PAYMENT
[Transfer]
Split [Transfer]
125.00
Split Credit Card #1 25.00

DEPOSIT
150.00

Recording a [Transfer] To SAVINGS

When budgeting, you treat a transfer to Savings as an expense. You'll notice in the Budget
worksheet that there are multiple savings goals listed as sub-categories under the main
"To Savings" category. Instead of just throwing money into Savings, you should allocate the
money to specific savings goals based on percentages. For example, 50% to your Emergency
Fund, 25% to Retirement, etc. You do this by recording the transfer as a SPLIT transaction:
In the example below, the CATEGORY for the Savings account transaction is "[Transfer]"
while the CATEGORY for the Checking account transaction(s) are budget sub-categories.
ACCOUNT
Savings
Checking
Checking
Checking

DATE
1/1/10
1/1/10
1/1/10
1/1/10

NUM
TXFR
TXFR
TXFR
TXFR

PAYEE
[From Checking]
[To Savings]
[To Savings]
[To Savings]

CATEGORY
PAYMENT
[Transfer]
Emergency Fund 100.00
Retirement
50.00
College Fund
50.00

DEPOSIT
200.00

Recording a Return or Refund

A very common approach for recording returns or refunds is to record them as a negative
expense. As an example, let's say you purchased a blender from a department store and
allocated the payment to your "Appliances" category. After returning the blender, the store
credits your card. Instead of entering the credit as a deposit, enter the amount as a negative
payment as shown below. Doing this will credit the correct budget category instead of
treating the return as income.
Original Transaction:
ACCOUNT
DATE
CreditCard 1/1/10

NUM

PAYEE
The Big Store

CATEGORY
Appliances

PAYMENT
50.00

DEPOSIT

Recording the Return:

ACCOUNT
DATE
CreditCard 1/5/10

NUM

PAYEE
The Big Store

CATEGORY
Appliances

PAYMENT
-50.00

DEPOSIT

Budgeting for Large Variable Expenses

For large payments that are made once every few months or once a year, it is common to
estimate a monthly budget amount and transfer the monthly amount into a temporary
savings account, so that you have enough money available when you need to pay the bill.
If you are recording those transfers to savings each month as an expense, then what do
you do when it comes time to pay the bill?
One approach is to first transfer the amount saved from Savings to Checking, recording the
transfer as a credit to the expense category. Then, record the actual payment like normal.
1. Record the Transfer
ACCOUNT
DATE
Savings
6/1/14
Checking 6/1/14

from Savings to Checking as a

NUM
PAYEE
TXFR [To Checking]
TXFR [From Savings]

2. Recording the Actual Insurance Payment:

ACCOUNT
DATE
NUM
PAYEE
Checking 6/1/14 1023 ABC Insurance

Credit to the Expense Category

CATEGORY
PAYMENT
[Transfer]
200.00
Insurance

CATEGORY
Insurance

PAYMENT
198.00

DEPOSIT
200.00

DEPOSIT

In the above example, the actual payment of 198.00 was lower than what was previously
total expense of 200.00, so you could end up seeing a value of -2.00 in the Actual column
of the report worksheet. This is similar to what you might see if you received a refund or
return for something you paid in a previous month.
Step 4-3: Record "Cleared" Transactions.
When you see that charges have been processed or "cleared" by your bank, you should
enter a "c" in the reconcile (R) column for that transaction.
The Cleared Balance in the transaction history table shows the Account balance for the
transactions marked "R" for reconciled or "c" for cleared. This allows you to compare the
Cleared Balance with the current balance shown on your bank statements.
The Account Balance reflects your actual or effective balance and is the one you should be
looking at to stay on budget. The Cleared Balance is for comparing to your bank and credit
card statements. For example, when you write a check to a friend, it won't show up in your
bank account until they cash it. You should record the transaction immediately, to help you
stay on budget, but until the check shows up on your bank statement, your Cleared Balance
will be different from the Account Balance (until you enter a "c" or "R" in the reconcile column).
Step 4-4: Reconcile Your Accounts
You should reconcile your accounts at least one a month. Reconciling is also commonly known
as "balancing your checkbook".
A. Get your bank and credit card statements

B. Review your statements for errors and fraudulent charges

C. Your statements may include ATM fees, bank fees, or other transactions that you forget
to include in the Transactions worksheet. Add them.
D. Verify that the Cleared Balance (as of the Ending Statement Date) in the Transactions
worksheet matches the Statement Balance.
E. Enter an "R" in the reconcile (R) column for every transaction that shows up on your
bank statement.
TIP: If you are familiar with using Excel lists or tables, you can use autofiltering to filter the
transaction history table to show a single account at a time.
Step 4-5: Check Formulas
If you ever have reason to suspect that you forgot to copy formulas, you should UNHIDE
columns J-L and copy the formulas down.

Step 5 Track Your Progress

A very important part of good money management is keeping track of how your current
spending compares to your budget. You might check your budget status on a weekly or even
daily basis, but you should at least manage your money on a monthly basis.
Using the Report Worksheet
Use the Report worksheet to compare your budget to your actual spending throughout
the month. Change the month by entering the month number (1 for Jan., 2 for Feb., etc.).
The Report pulls the budget info from the Budget worksheet and the actual spending from
the Transactions worksheet, so you can view the report at any time during the month and
see how much you have left (or how much you have overspent) in each category.
IMPORTANT: If the Report worksheet does not appear to be pulling information from the
Transactions worksheet, please see Step 4-5 above (Check Formulas).
Using the YearlyReport Worksheet
The YearlyReport worksheet is very similar to the Budget worksheet except that it calculates
amounts from the Transactions worksheet to show you an Income and Expense report.
If you customize budget categories, you will need to make sure to edit the YearlyReport
worksheet so that all budget categories match.

 2010-2014 Vertex42 LLC

HELP

o copy formulas,
when needed,

Input Cell
Label

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you inserted.

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>> Excel Tips

ounts column

** ACCOUNTS **
Checking
Savings
BobsCard
JanesCard

[End of List]

How to Budget: Budgeting Tips

Vertex42 Blog: Budgeting

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Normal background color to identify Beginning Balance
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HELP

2010-2014 Vertex42 LLC

Starting Balance
Total Income
Total Expenses
NET (Income - Expenses)
Projected End Balance

[42]

Total

Avg

0
0

Monthly

#REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF!

Total Average

INCOME
Wages & Tips

Interest Income

Dividends

Gifts Received

Refunds/Reimbursements

Financial Aid

Rental Income

INCOME-Other

Emergency Fund

Retirement Fund

College Fund

Investments

Taxes

Vacation Fund

SAVINGS -Other

Total INCOME

TO SAVINGS

Total TO SAVINGS

% of Income

Tithing

Charitable Donations

Religious Donations

Gifts

Christmas

CHARITY/GIFTS

#REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF!
CHARITY - Other

Total Average
0

Total CHARITY/GIFTS

% of Income

Mortgage/Rent

Home/Rental Insurance

Real Estate Taxes

Furnishings/Appliances

Lawn/Garden

Maintenance/Supplies

Improvements

HOUSING - Other

HOUSING

Total HOUSING

% of Income

Electricity

Gas/Oil

Water/Sewer/Trash

Phone

Cable/Satellite

Internet

UTILITIES - Other

UTILITIES

Total UTILITIES

% of Income

Groceries

Dining/Eating Out

Pet Food

FOOD - Other

FOOD

Total FOOD

% of Income

Vehicle Payments

Auto Insurance

Fuel

Bus/Taxi/Train Fare

Repairs/Tires

Registration/License

TRANSPORTATION

#REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF!
TRANSPORTATION - Other

Total Average
0

Total TRANSPORTATION

% of Income

Health Insurance

Disability Insurance

Doctor/Dentist/Optometrist

Medicine/Drugs

Health Club Dues

Life Insurance

Veterinarian/Pet Care

HEALTH - Other

HEALTH

Total HEALTH

% of Income

Education

Clothing

Personal Supplies

Cleaning Services

Laundry / Dry Cleaning

Salon/Barber

DAILY LIVING - Other

DAILY LIVING

Total DAILY LIVING

% of Income

Children:Clothing

Medical

Music Lessons

School Tuition

School Lunch

School Supplies

Babysitting/Child Care

Toys/Games

CHILDREN - Other

CHILDREN

Total CHILDREN

% of Income

OBLIGATIONS
Student Loan

#REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF!

Total Average

Other Loan

Credit Card #1

Credit Card #2

Credit Card #3

Alimony/Child Support

Federal Taxes

State/Local Taxes

Legal Fees

OBLIGATIONS - Other

Total OBLIGATIONS

% of Income

Deductible Expenses

Non-Deductible Expenses

BUSINESS - Other

BUSINESS EXPENSE

Total BUSINESS EXPENSE

% of Income

Vacation/Travel

Videos/DVDs

Music

Games

Rentals

Movies/Theater

Concerts/Plays

Books

Hobbies

Film/Photos

Sports

Outdoor Recreation

Toys/Gadgets

ENTERTAINMENT

ENTERTAINMENT - Other

Total ENTERTAINMENT

% of Income

Newspaper

Magazines

Dues/Memberships

SUBSCRIPTIONS

#REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF!
SUBSCRIPTIONS - Other

Total Average
0

Total SUBSCRIPTIONS

% of Income

Bank Fees

Postage

MISC - Other

MISCELLANEOUS

Total MISCELLANEOUS

% of Income

Transaction History
HELP
Account

Checking
Savings
BobsCard
Checking
Checking
BobsCard
BobsCard
Checking
Checking
Checking
Checking
Savings
Checking
Checking
Checking

2010-2014 Vertex42 LLC

Date

Num Payee

Memo

Category

R PAYMENT DEPOSIT Cleared Cleared

Payment Deposit

Account
Balance

Cleared
Balance

BALANCE

1/01/14

[Balance As of 01/01/2014]

[Balance]

875.00

875.00

875.00

875.00

875.00

1/01/14

[Balance As of 01/01/2014]

[Balance]

2,345.00

2,345.00

2,345.00

2,345.00

3,220.00

1/01/14

[Balance As of 01/01/2014]

[Balance]

1/01/14 DEP Direct Deposit from Employer

Wages & Tips

1/10/14 2032 Car Payment

Vehicle Payments

115.20

115.20

1/15/14

Joe's Food Mart

Groceries

87.34

87.34

1/18/14

Fuel

Gas/Oil

100.00

100.00

Wages & Tips

2/05/14 DEP Direct Deposit from Employer

256.00

256.00

1,000.00

1,000.00

1,000.00

(256.00)

(256.00)

2,964.00

1,875.00

1,875.00

3,964.00

1,759.80

1,759.80

3,848.80

(343.34)

(343.34)

3,761.46

(443.34)

(443.34)

3,661.46

2,759.80

2,759.80

4,661.46

2/10/14 2033 Target

Split

Clothing

23.10

2,736.70

2,759.80

4,638.36

2/10/14 2033 Target

Split

Groceries

45.15

2,691.55

2,759.80

4,593.21

2/10/14 2033 Target

Split

Personal Supplies

25.04

2,666.51

2,759.80

4,568.17

[Transfer]

2/15/14 TXFR [From Checking]

200.00

1,000.00

2,545.00

2,345.00

4,768.17

2/15/14 TXFR [To Savings]

Split

Emergency Fund

100.00

2,566.51

2,759.80

4,668.17

2/15/14 TXFR [To Savings]

Split

Retirement Fund

50.00

2,516.51

2,759.80

4,618.17

2/15/14 TXFR [To Savings]

Split

College Fund

50.00

2,466.51

2,759.80

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

Account

Date

Num Payee

Memo

Category

R PAYMENT DEPOSIT Cleared Cleared

Payment Deposit

Account
Balance

Cleared
Balance

BALANCE

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

4,568.17

SAMPLE WORK
Ser

Name
1 Umar Farooq
2 Adam Smith
3 Aurangzeb Ali

Address
House No CB 223, Street No 5, Islamabad
24 West, ABC Road, New York
House No CB 223, Street No 5, Islamabad

138,077.64

Email Address
[email protected]

636022
181882
817904
707321

[email protected]
[email protected]

1,057,321
531,882
110,583
525,439
636,022

576906
395024
181882

350,000
636022
110583
525439
707321

1,057,321
350,000

500
2000
5000
1000

tele

71
50
4.2
42

35500
100000
21000
42000

2500
3000

312.5
375

2187.5
2625