Targets or recurring transactions?

I'm a returning user of about 4 months, still trying to get my head around new features like cost to be me etc.

I am still struggling a bit with understanding what I can actually afford to budget with each paycheck, which is not helped by the fact I'm now one month ahead. My goal is to reduce outgoings and not need to juggle so much.

I was looking at one of my categories which doesn't have a target but does have a recurring transaction (utility bill) and I wasn't sure what difference that would make to my cost to be me, or the reports that I have. To me it's not a goal it's literally the cost of the direct debit and it absolutely needs to be funded every month. I feel like I really want to make progress here but I'm not sure I'm using everything as it's designed to be used.

For things that are knowable and the same every month, is it better to use targets for categories, or recurring transactions? Or does it not make a difference? How do they show up differently on reports or estimates etc?