How to Simplify YNAB When It Starts Feeling Too Complicated
More categories aren’t always better. Here’s how to streamline your YNAB setup without losing control.
When Your Budget Feels Like a Burden
You started using YNAB to feel more in control of your money—not to add another layer of stress.
But somewhere along the way, your budget might have become… too much.
Too many categories.
Too many goals.
Too many moving pieces that you don’t even remember creating.
Now, instead of feeling empowered, you feel overwhelmed. Updating your budget starts to feel like a chore. You find yourself avoiding it, delaying check-ins, and questioning if the effort is worth it.
If that’s you, you’re not alone—and you’re not doing anything wrong. It just means it’s time to simplify.
At Master Budget Coaching, we work with people who love YNAB but need to make it work for real life. The goal isn’t to do more—it’s to do less, but better.
As YNAB themselves explain in their post on what to do when your budget feels too complicated, it’s normal to feel overwhelmed. The solution is to zoom out and reevaluate what’s actually helpful.
Why Your Budget Might Be Too Complicated
Most people don’t set out to create an overwhelming budget. Complexity creeps in over time:
- You add categories “just in case”
- You set up detailed goals for everything
- You duplicate categories to track separate things (like gifts for different people)
- You try every feature at once
The result? A bloated, tangled setup that’s hard to navigate—and even harder to maintain.
The key is to identify what’s getting in your way and intentionally remove friction.
Signs You Might Need to Simplify
Here are some clear indicators that your YNAB budget needs streamlining:
- You avoid opening the app because it feels exhausting
- You regularly forget what certain categories are for
- You aren’t sure which goals are current, paused, or outdated
- You’re manually entering transactions but falling behind
- You spend more time maintaining your budget than using it to make decisions
Sound familiar? Let’s walk through how to fix it.
1. Clean Up and Consolidate Categories
This is usually the biggest source of overwhelm.
Start by asking:
“Is this category helping me make better spending decisions?”
If not, archive it. If you’re unsure, move it to a temporary “Review Later” category group. You can always restore it later.
Also look for consolidation opportunities. For example:
- Combine “Fast Food” and “Restaurants” into “Dining Out”
- Combine “Subscriptions” into one monthly “Recurring Services” group
- Collapse all the random “Household” subcategories into one catchall
For more help organizing your categories effectively, read this guide on customizing your YNAB categories.
2. Stop Tracking Things That Don’t Matter (Yet)
Not everything needs a category or a goal right now.
Ask yourself:
“Is this category aligned with a decision I’m making this month?”
If not, consider hiding it. Examples might include:
- Travel categories when you’re not currently planning a trip
- Holiday gift categories when it’s March
- Special projects or wish list items with no timeline
3. Set Fewer, Clearer Goals
YNAB’s Targets feature is powerful—but only when used intentionally.
If you’ve got goals set on 15 categories, it’s easy to lose track of what’s active and what’s not.
Instead, try this:
- Choose 3–5 categories to actively target this quarter
- Use “Notes” to track your reason for each goal
- Pause or remove goals that don’t have funding priority right now
4. Automate More (But Only If It Helps)
Many users try to do everything manually “to stay connected.”
That’s admirable—but can also be unsustainable.
Consider connecting your bank accounts for auto-import, especially if:
- You fall behind on entering transactions
- You’re reconciling large backlogs
- You want to save time while still staying aware
Pro tip: Use a daily or weekly review routine to stay engaged without feeling overwhelmed.
5. Reevaluate Your Category Groups
Category groups should help you navigate—not confuse you.
If you find yourself scrolling endlessly or skipping groups entirely, try one of these simplified frameworks:
- By Timeframe: This Month, Next Month, Long-Term
- By Function: Essentials, Lifestyle, Savings, Goals
- By Control: Fixed Expenses, Flex Spending, Priorities
You don’t need a fancy structure. You just need one that makes sense to you.
6. Use Notes to Reduce Mental Clutter
Rather than creating new categories just to “remember something,” use the Notes section in each category.
Examples:
- Add the due date for an annual subscription
- Track the number of months left on a savings goal
- Record context about a temporary expense
This keeps your categories clean while still giving you memory support.
7. Reflect (Don’t Just React)
If you’re overwhelmed by daily budget decisions, try zooming out.
YNAB’s “Reflect” tab now houses key insights—like your Age of Money, total activity, and overall trends.
Use it monthly to ask:
- Am I spending in alignment with my priorities?
- Are there areas I’m consistently overspending?
- What can I set aside for next month’s needs?
Sometimes, it’s not that your budget is broken—it’s that you’re too deep in the weeds to see it clearly.
A Real Client Example: Brendan’s Budget Burnout
Brendan came to us after hitting a wall. He had over 80 active categories and hadn’t reconciled his budget in six weeks.
“I used to love budgeting,” he told us. “Now it just feels like a second job.”
Together, we:
- Consolidated his categories from 80 to 35
- Set targets on only 4 high-priority savings goals
- Created a weekly 10-minute review routine
- Hid off-season categories that weren’t relevant
Within a month, Brendan said he felt “back in control” and “actually excited” to open the app again.
Simplifying didn’t make him less committed. It made him more consistent.
About the Author
Trent Ladle is the founder of Master Budget Coaching and a YNAB Certified Coach with degrees in Business Management and an MBA. With nearly 40 years of budgeting experience, he helps clients build values-based spending plans—guided by the belief that when you master your spending, you master your life.
Ready to Simplify and Fall in Love With Your Budget Again?
A complex budget doesn’t mean you’re doing more. It usually means you’re doing too much.
Let’s build a streamlined system that works—for your life, your goals, and your peace of mind.
