Pay now, buy later: 3 tips to help take the surprise out of unexpected expenses

A new piece of advice argues that “pay now, buy later” can reduce the shock of unexpected expenses that don’t have a fixed due date—everything from holiday shopping to car maintenance and irregular annual or semi-annual bills. The approach starts by reviewing prior bank or credit card statements to identify recurring but uneven costs such as insurance premiums, repairs, memberships, seasonal trips, back-to-school supplies, home maintenance, and gifts. It suggests setting aside money using budgeting methods like an envelope system, or apps such as Goodbudget. Another option highlighted is YNAB, a zero-based budgeting tool that assigns every dollar to categories.