Do you find yourself running out of money at the end of every pay period? Even if you have created a personal budget, it’s easy to lose track of your spending. Personal finance apps can link to your banking accounts and keep you accountable throughout the month. Learn more below about how to choose the right app for yourself or your entire family and gain an understanding of the five benefits of using a personal finance app to track your spending.
How to Choose the Right App
The right app for you will be easy to navigate, secure, and compatible with your bank accounts. Your final decision should take into account your financial needs and goals. Perhaps it’s your desire to organize your spending, or maybe you’re simply not sure where all of your money is going every month.
You might be trying to juggle your necessary spending with paying down a large amount of debt. Stop ignoring your finances and choose an app that has a reputation for helping people complete similar goals.
5 Benefits of Personal Finance Apps
Overall, high-quality personal finance apps offer similar benefits to their users. Consider the five advantages of using a portable, convenient digital budget below.
1. You’ll Have a Central Control Panel
It’s difficult to keep track of your spending mentally, and you don’t have time to write down every purchase and save your receipts. A finance app will securely link your bank accounts with your spouse’s or partner’s and alert you both to overspending.
2. Every Family Member Can Check the Budget
If you are trying to teach your kids about money, link their kid-friendly checking accounts to your budget and allow them to set a few parameters for themselves. Sharing your family’s budget information may be more appropriate for teens than grade-schoolers.
3. You Can Organize Your Budget Anywhere
Personal finance apps connect to most smart devices including desktop computers, laptops, phones, tablets, and even smartwatches. Never leave your financial information behind again — or use ignorance as an excuse for an impulsive buy.
4. You’ll Better Understand Your Debt
Having access to your budget at all times keeps you financially accountable and allows you to see your debt clearly. You can use finance apps with a built-in API credit loan to monitor your credit card, student loan, and mortgage balances in real-time and factor these amounts into your overall budget. Seeing this information side by side with your monthly budget can help you make a payment plan to start paying off the debts.
5. You’ll Have Access to Educational Materials
Some personal finance apps offer educational portals that teach users more about budgeting, spending, and paying off debts, and others may be programmed to teach users more about their bad habits (for example, perhaps you should try exercising at home rather than joining another expensive group fitness class). Many apps have the option to connect their users with financial advisers.
These materials may help you learn more about your own spending and help you save for a future home. You can use a mortgage calculator to determine how much you might pay for a home and save for the appropriate down payment.
There is often a steep learning curve to budgeting your money if you’ve never kept close track of your spending before. Download your favorite app after reading online reviews and comparing the app’s features to your family’s needs. After a few weeks, you’ll be well on your way to spending less, paying down your debts, and saving for your future.
This article was written by Essential Millennial guest writer, Micah Norris.
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