Step 5 is the third survival budget sub-step. Groceries, dining, custom expenses, and the account buffer go here.
3 min read
Living Expenses rounds out the survival budget. You'll enter groceries, dining out, personal care, clothing, subscriptions, your account buffer, and any custom categories you need. The "Add custom expense" button lets you create categories that don't fit the defaults (pets, kids, gym, therapy).
The Account Buffer is a small cushion that stays in checking to absorb timing mismatches between income deposits and auto-debits. If it still needs to be built, it counts against this income deposit. If it is already sitting in checking, mark it funded so it remains visible without reducing available cash.
Tip
Use custom categories sparingly. Too many tiny line items make your budget hard to follow. Group related spending (e.g., "kids activities" covering classes + gear) unless you specifically want to cap a category.
Good to know
The budget sidebar on the right updates in real time as you enter numbers. Watch the "Survival total" tick up so you can catch a double-count the moment it happens.
Step 9 lets you choose Snowball or Avalanche. Both use the same monthly budget — only the order of attack differs.
The Safety Net step sets your emergency fund target and tells Payday Audit how much to allocate each income deposit.
Step 8 helps you track workplace investing and employer match amounts that are already handled before your take-home income arrives.