A living budget program where the term living budget refers to a new interface and methodology for managing finances

• US 20070260532A1
• Filed: 05/03/2006
• Published: 11/08/2007
• Est. Priority Date: 05/03/2006
• Status: Abandoned Application

• Current Assignee: Charles Blake III
• Original Assignee: Charles Blake III
• Inventors: Blake III, Charles
• Application Number:
  US11/381,455
• Publication Number:
  US 20070260532A1
• Time in Patent Office: Days
• US Class Current: 705/35
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/02 Banking, e.g. interest calculation or account maintenance credit or loans G06Q40/03

Abstract

Disclosed is a financial management software application that provides a means of creating and managing living budgets. A Living Budget is the evolving statement of financial position laid out in terms where one can easily manipulate its various components (210) (211) (216) and see results the across all periods within its scope (208) (205), which is typically a year; differs from a budget in that proposed solutions are easily discernible by virtue of the layout. The enhanced visibility, ease of edit, and layout provide a new and improved method for managing finances. The end result is that consumers will not only have the ability to reconcile their accounts, but can easily create many what-if scenarios and instantly see how those changes effect their financial situation. This application will help those who are in immediate financial distress, or those who just want to improve their financial situation.

Claims

1. A method for creating and managing an electronic, evolving statement of financial position on a computer system having a display device, an entry device, and a pointing device, comprising:

(a) providing a means of storing a plurality of payees,

(b) providing a means of storing a plurality of pay-periods,

(c) providing a means of storing a plurality of transactions,

(d) providing a means of displaying a workspace on said display device, where said workspace is divided into a plurality of rows and a plurality of columns, the number of said rows is derived from the number of said payees plus additional said rows for totals with blank said rows for visual clarity, the number of said columns is at a minimum one to display a description of said payees, and a variable number of said columns which represent said pay-periods that are based on the individual'"'"'s financial situation, said payees of the income type are separated from said payees of the expense type for clarity,

(e) using said entry device, the user repetitively enters all said payees which comprise their income and debts, said payees individually consists of a payee description, a payee income type, a payee category, a payee amount, a payee pay-period, and a payee due date,

(f) completing the entry of all said payees, a plurality of said columns of the said pay-period type are displayed on said workspace based on the individual'"'"'s financial situation, a plurality of said transactions are created for each of the said payees based on said payee pay-period and said payee due date, said transactions are located on said row where its owner, the said payees resides, in the said pay-period,

(g) providing a means of summing all said payees of the income type for a given said pay-period with a previous balance in the same said pay-period creating a total income for that same said pay-period,

(h) providing a means of summing all said payees of the expense type for a given said pay-period creating a expense total for that same said pay-period,

(i) providing a means for deducting said expense total from said income total for a given said pay-period to produce a current balance for that same said pay-period,

(j) providing a means for equating said previous balance of a given said pay-period to the said current balance from the previous said pay-period,

(k) providing a means where any said transaction can be edited, or deleted,

(l) providing a means where any of the said payees can be edited, or deleted,

whereby any changes in said transactions values or any change to said payee amount, or said payee pay-period, causes an immediate change in the value of said current balance which provides immediate visual feedback to the user regarding the evolving state of their financial position, additionally, the ability to easily edit or change said payee pay-period, or said transactions creates the ability to apply many what-if scenarios to their current financial situation and immediately see the results.

2. The method of claim 1 where said payees have the additional attribute of a payee ced and a payee target amount,

(a) providing a means where the number of created said transactions for said payee ced are based on said payee amount, said payee pay-period, and said payee target amount, where transactions will cease once said payee target amount is reached,

whereby the user will benefit from seeing a completed updated budget, one in which only lists active said transactions, where the program stops creating said payee ced said transactions once the balance reaches zero.

3. The method of claim 2 where a means has been provided to change the number of said transactions for said payee ced, upon the edit, deletion or insertion of said transaction or as a result of the change of said payee pay-period, or said payee amount, whereby the user will benefit from seeing an updated budget, one in which changes to said payee ced said transactions, increases or decreases the number of said transactions thereby providing updated balances.

4. The method of claim 2 where said payees have the additional attribute of a payee accrual,

(a) providing a means displaying a accrual area on said workspace whenever said payees of the said payee accrual type exist within the displayed period, said accrual area consists of additional said rows located below said current balance row, since said payee accrual is also an expense type, said payee accrual is displayed with the other expense type said payees,

(b) providing a means of displaying an accrual row located in said accrual area for said payee accrual, said transactions mirror transactions by the same said payee accrual located in the expense area, in the same said pay-period,

(c) providing a means of summing all said payees of the said payee accrual within the accrual area for a given said pay-period creating a total accruals,

(d) providing a means of displaying within said workspace, a carryover within the said accrual area,

(e) providing a means of summing the said total accruals and said carryover within a given said pay-period to create a accrual balance for that same said pay-period,

(f) providing a means for equating said carryover of a given said pay-period to the said accrual balance from the previous said pay-period,

(g) providing a means of displaying within said workspace, a actual checkbook balance that is the result of adding the said current balance to the said accrual balance for a given pay-period,

whereby the user will benefit from the ability to easily and gradually save up for items which lessons that expenditures impact to the users overall financial position.

5. The method of claim 1 where said workspace is separated into 12 easily accessible workspaces which are accessed through tabs which represent the months of the year, whereby the user benefits from seeing a cleaner workspace that not only provides the required monthly separation but also provides an easy and quick means of viewing the update changes in any month.

6. The method of claim 1 wherein a means is provided so that when said current balance is negative, its cell color changes to red,

whereby the user benefits by being able to easily see where their finances have gone out of balance.

7. The method of claim 1 where said payees and said transactions are updated from an external check register application which has a plurality of external payees and a plurality of external transactions comprising:

(a) providing a means where said payees and said transactions are updated by said external payees and by said external transactions,

whereby the user can more easily manage their ongoing financial affairs.