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Why an average income can hide a difficult repayment week
A monthly total removes information about dates.
Income arriving after the due date cannot fund that payment at the moment required merely because the month ends with enough money overall.
A dated scenario exposes the gap and identifies which assumption needs clarification. It is more informative than presenting an average surplus as proof of affordability for every scheduled day.
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Definitions
- Cash-flow timing
- Dates when income arrives and payments leave, distinct from their total over a month.
- Budget scenario
- An explicit set of income and expense assumptions used to explore a possible payment without treating it as personal advice.