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Budgeting & features

Goals vs Debts — when to use which

The Goals & Debts page tracks two different shapes of financial progress. They're kept separate because the math, the messaging, and the right decision-making framework are different.

Goals

A goal is something you're building toward:

  • Emergency fund — typically 3–6 months of expenses in cash.
  • House down payment, vacation, new car, baby fund, big surgery.
  • Sinking funds for known annual expenses (insurance renewal, holiday gifts).

You set a target dollar amount and an optional target date. Compound divides the gap by the months remaining to show you the implied monthly contribution — and folds that into your Safe to Spend so the dashboard reflects the commitment.

Debts

A debt is something you're paying down:

  • Credit cards, auto loans, student loans, personal loans, medical debt.

You enter the current balance, APR, and minimum payment. Compound calculates payoff timelines under avalanche (highest APR first — mathematically optimal) and snowball (smallest balance first — psychologically easier) so you can pick the approach that fits.

The grey area

A 0% APR balance transfer that needs to be paid off before the promo expires can sit in either column. Use it as a debt if you want the payoff tracking; use it as a goal if you want it to count against your Safe to Spend as a monthly commitment. Both work — the difference is mostly how it feels to look at.

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