Mark's Blog A developers point of view

The money problem with friend-groups: “Nah… I’ll pay! Pay me back later!”

You might recognise the problem. You have a close friend group and you do lots of things together. So when you go out,  or go to the movies you decide that you'll pay something, and the others pay other stuff and you dont realy worry about the money. They are your friends, and you trust everyone, so, no biggy.

Now although this is true, the problem lies where you can't keep track of what you owe who, or who owes you what. And although you know it's okay, it just doesn't feel right. Especially when it concerns larger amounts. For example, you go on vacation as a group. Decide that everyone will pay amount X as a money stash for group activities. But you know it is a matter of time before the plan becomes a bust. Eventually someone forgot his card and could not make a withdrawl. The account was empty sooner than expected. Etc. etc. In the end person X has deposited €400 person Y €600 and peson z only €200 because of whatever reason.

Now I have, on multiple occasions, decided to make a nice little Excel sheet which can handle these kind of problems. You enter the money you have spent (its a friend case so you trust everyone supplies accurate numbers) of each of the members, and it calculates neatly what the average amount spent is, and you can see who owes what to whom. Further, if person Z afterwards gave person X some money for something else, it is handy that these numbers can be specified too. So it will always reflect who has already settled his debt and who hasn't. The biggest problem is you have to manually keep track of changes. If someone pays somebody (partially or full), and didnt notify me, I can't keep track of the changes. And so it is a matter of time before it is not accurate anymore so you can't rely on it.

Because I (we) have these problems. I'd think I'm not the only one! So I think about making some simple application which can handle these kinds of troubles. Attach a mail service to it so people can easyly be reminded of his debts or request for information. Combine this with some type of grouping of friends and you have a centralised application to handle all current and future money oweing problems without worrying about who paid who (or didnt).