Cash flow
Compare your income and expenses month by month to see if you are saving or dipping into your reserves.
Cash flow answers a simple but essential question: at the end of the month, do you have money left, or have you spent more than you earned? This chart compares your income and expenses month by month. This page teaches you how to read it and make decisions based on it.
Income and expenses
The chart distinguishes two movements for each month: what comes in and what goes out. The difference between the two is your monthly balance. A healthily positive cash flow means you are setting money aside; a negative cash flow means you are dipping into your reserves.
The vocabulary of cash flow
- Money in
- The money arriving in your accounts: salary, income, refunds, incoming transfers.
- Money out
- The money leaving your accounts: spending, charges, withdrawals.
- Monthly balance
- The difference between your money in and your money out over the month. Positive, you are saving; negative, you are using up your reserves.
Why track your cash flow
A high net balance can mask a negative cash flow: you are living off savings that are slowly depleting. Conversely, a small balance but a positive cash flow each month is a sign of good financial health. Cash flow reveals this dynamic, which the balance alone does not show.
An isolated negative month is not alarming, for example, due to a large purchase. It is the sequence of several negative months that should alert you.
Reading the chart over several months
By displaying several months, you can spot patterns: months with high expenses (back-to-school, holidays, vacations), months with exceptional income, and the seasonality of your budget. Use the period selector at the top of the dashboard to widen or narrow the window.
| Situation | What it means | A useful habit |
|---|---|---|
| Money in > money out | You are saving this month | Put the surplus towards a savings goal |
| Money in ≈ money out | You are breaking even | Look for some room in your subscriptions |
| Money out > money in | You are drawing on your reserves | Spot the category responsible and set a budget |
When cash flow surprises you
A month may seem unusual: a transfer between your own accounts, a large refund, or an exceptional expense can inflate a bar. Check your transactions for the month in question to understand the discrepancy before drawing a conclusion.
A transfer between two of your accounts appears as an expense on one side and income on the other. It neither impoverishes nor enriches your overall situation.
Maintaining a positive cash flow
Improving your cash flow doesn’t mean depriving yourself. It often starts by identifying the category that is spiraling out of control using the expense breakdown, then setting a budget for it. Over time, a consistently positive cash flow also strengthens your Noryo Score.
- Spot the spending category that weighs the most.
- Set it a reasonable monthly budget.
- Set the surplus aside at the start of the month rather than at the end.
- Follow your cash flow each month to check the effect.
Frequently asked questions
Why is my cash flow negative when I have money?
Cash flow measures the movement for the month, not your total balance. You can have a comfortable balance and a negative cash flow if you spend more than you earn that month.
Are my cash expenses counted?
Only if you add them as manual expenses. Otherwise, your cash flow underestimates your real outgoings.
Does the cash flow include my different accounts?
Yes, it aggregates all your connected accounts for a global view of your money in and out.
Taking it further
Once you see where a negative cash flow is coming from, address the cause by managing your category limits.
Set caps to bring your cash flow back into the green.