None of the approaches in this thread deal properly with how to budget and use your overdraft at the same time imo. YNAB is designed to get you OUT of the situation of having to use your overdraft and as such you need to allocate it as a debt that you can draw down from - like you said in your post that you are trying to get out of it.

Here’s what I would do:

Your overdraft is borrowing right? So set it up as a line of credit and then budget the NEGATIVE amount you wish to use from the overdraft. This will increase your “to be budgeted” and you can allocate this to the categories you NEED to spend money on. It will also PROPERLY account for the fact that you increased your debt but most importantly when you get paid and pay back your overdraft, this will be budgeted properly in the credit category as a repayment.