Sticking to a budget can be difficult, especially when prices are rising. In fact, according to FINCAP, more than a third (39%) of UK adults are currently not confident in managing their money. However, there are many ways to learn how to manage your budget. Many don’t require any expertise or experience with spreadsheets, setting reminders, or creating complex budget formulas. Budgeting apps are easy to access and will help you budget better if you always have them on hand (or in your pocket!). Here’s a look at how you can leverage the technology you already have to secure a brighter financial future.
What is a budgeting app?
Essentially, budgeting apps are software applications designed to help people manage their money effectively. Budgeting apps have a variety of features such as income tracking, expense management, and savings, and are easily accessible from both Android and iOS devices. Together, they make it easy to understand your financial situation, and some even offer tips and guidance on how to improve.
How does it work?
To get started, you need to provide the app with considerable details about your financial income and expenses. Some budgeting apps let you enter your income and expenses manually, while others connect directly to your bank feed to assess your financial situation. This will not only give you insight into setting a household budget, but also remind you to stick to it.
The budgeting app has a variety of additional features, including:
- Debt management features – Some budgeting apps show you how to pay off your debt and help you create a plan to get rid of it.
- Set financial goals – You can also set financial goals within the app and track your progress towards them. This will also help you stay motivated when budgeting.
- Expense Tracking – Expense tracking is an important feature of any budgeting app. Being able to see where your money is going in real time will help you manage your money better. In some cases, you can set spending limits to ensure you don’t overspend.
Is it okay to use a free household account book app?
There are several free budgeting apps on the market that cater to different types of users. Popular choices include Plum, GoodBudget, and Spending Tracker. However, although they also have free versions, some features included in the paid versions may not be available.
Are budgeting apps reliable?
As with any app that provides financial information, you need to make sure it’s trustworthy. When considering which budgeting app to use, consider one that is transparent about how it processes your data in accordance with the latest data protection laws. Also, choose one that takes cybersecurity seriously. Encryption protocols, secure logins, and detailed privacy policies are all things to look for.
In addition to this, it is wise to also check user reviews and ratings. Use independent review websites. This will give you a more accurate picture of the user experience when using your app. Reliable budgeting apps typically only require access to important financial data and should not request any other information. If so, it might be best to question whether this is the right app for you.
How to get the most out of budgeting apps
Once you choose the app you want to use, enter your details, and set your goals, the app doesn’t do everything for you. It’s important to recognize that you need to review your spending and savings and update them if necessary. If you’re finding it hard to remember your budget, choose an app that notifies you of important budget events or reminds you to review your monthly spending. However, once you set a reminder, managing your budget can become a habit from now on.
So if you’re considering using a personal finance app for personal or household purposes, it might be wise to find out what’s available before downloading. Getting the right app for your needs can help you manage your money better and lead to a brighter financial future.