> ## Documentation Index
> Fetch the complete documentation index at: https://docs.calbudget.com/llms.txt
> Use this file to discover all available pages before exploring further.

# Build the first forecast

> A practical walkthrough for creating a first 30-day cash-flow forecast in CalBudget.

A first forecast should be short, honest, and easy to adjust. The goal is not perfect accounting. The goal is knowing whether the account survives the days between paychecks.

## Recommended first-month setup

1. Start with the main checking account.
2. Enter today's balance.
3. Add the next two paychecks.
4. Add fixed bills due before the second paycheck.
5. Add subscriptions and debt minimums.
6. Add planned weekly spending, such as groceries or gas.
7. Review the lowest projected balance.

## Example

| Date   | Item                  | Type           | Effect               |
| ------ | --------------------- | -------------- | -------------------- |
| Today  | Main checking balance | Starting point | Forecast begins here |
| Friday | Paycheck              | Income         | Balance increases    |
| 1st    | Rent                  | Expense        | Balance decreases    |
| 5th    | Car insurance         | Expense        | Balance decreases    |
| 12th   | Groceries             | Expense        | Balance decreases    |

Once those items are in place, CalBudget calculates the daily balance and highlights tight timing.

## How to interpret the result

The projected finish is helpful, but the lowest future balance is usually more important. A month can end positive and still have a dangerous low point before payday.

## Improve the forecast

* Turn paychecks and fixed bills into recurring transactions.
* Move flexible expenses away from the low-balance window.
* Add known annual bills as future-dated expenses or monthly set-asides.
* Use categories to make the month easier to scan.
* Use bookmarks for common one-off entries.

## When the forecast looks wrong

Check these first:

* The starting balance is current.
* Income is marked as income, not expense.
* Expenses are positive amounts but categorized as expense.
* Recurring rules are not duplicating the same bill.
* Transactions are assigned to the correct account.

<Note>
  CalBudget stores expenses as positive amounts and uses the category/type to decide whether the transaction decreases or increases the forecast.
</Note>