If you feel like your finances are out of control, it’s likely that you’re not using a budgeting tool, and today’s best budgeting tools are apps. It’s no surprise that so many who feel helpless with money aren’t using the tools available to them. Let’s solve that. Below are five apps that will get you on track and rock your finances.
Why?
You may be asking, “Why do we need another budgeting article?” The reality is that upwards of 35% of the LGBT community admits to not using any tool to manage their finances. With 57% of LGBTQ people saying their financial situation adversely affects their mental health, it’s clear that more of us could improve our financial situation if we used the tools that are designed to make managing our money or talking with our partner about money easier.
5 Apps We Love
YNAB or You Need a Budget has grown from being a simple app to a vast community of users. They have one of the strongest communities online, with a great money blog and free online classes to help users improve their financial wellness. There’s a lot of value for the $6.99 a month fee.
Pros
YNAB has both a web version as well as the iOS and Android apps
- YNAB works like the envelope system in that users assign a “job” to every dollar they earn, something that Todd Tresidder said is the key for early retirement on an episode of the Queer Money™ podcast
- YNAB app starts users off easily with a significant list of preset spending categories to automatically align with their transactions
Cons
There is a $6.99/month fee to use the app, which many YNABers feel is well worth it due to the progress they’ve made, students get one-year free and then a 10% discount the following year
Mint is the personal finance tool offered by Intuit, the makers of Turbo Tax, Quickbooks and Payroll. The Mint app has been available for years and is quite robust.
Pros
Mint has both a web interface and its iOS and Android apps
- Both the web and app versions are granular and perfect for those who are Type A with their money, allowing users to easily divide spending among categories
- Mint regularly offers suggestions for credit card offers and other services that help users save money
- The Intuit MintLife blog at mint.com offers a host of advice to help readers improve their finances and money mindset
Cons
Mint needs struggles with duplicate accounts, meaning couples who both have the same account with different logins, removing them isn’t intuitive and typically results in all the accounts with that login being removed rather than individual, duplicative accounts
- The web interface can sometimes be overwhelming for beginners
Honeyfi’s a newer app with a unique focus on helping Millennial and Centennials (Gen Z) couples start with a simple tool to manage money together. Proper money management is vital for couples, as arguments about money are a leading cause of relationships ending in the United State. Additionally, Honeyfi is inclusive of all couples, with a gay couple represented on its homepage, as well as Honeyfi taking the lead with its 2018 LGBT Love and Money study.
Pros
Honeyfi’s app is one of the simplest and best apps for beginners just starting their money journey
- Honeyfi was designed for couples who are just starting their money conversations or who are looking to improve how they manage money together
- The Honeyfi app lets users segregate the accounts they want their partner to see and hide those they don’t
- Splitting spending between spending categories is easy
- The Account Balances view is a quick net-worth view and lets users break down their net-worth into households and “Just Mine”
Cons
Honeyfi doesn’t currently have a web-based version
- Honeyfi doesn’t currently accept all credit card, debit card or bank accounts so you may find tracking all your spending a bit difficult
Clarity, similar to Honeyfi, is a budgeting app designed for Millennials and Centennials. It’s also designed for beginners, especially for those starting their money journey with debt. Now with over one million users, Clarity’s been acquired by Goldman Sachs as a part of Goldman’s Marcus program. It’s likely we will see some changes coming to Clarity.
Pros
The mobile app is simple, appealing to the eye and fun (yes, I said fun)
- The app regularly shares offers to cut expenses, such as lowering cable and phone bills
- The built-in savings tool lets users save regularly by transferring money to a stand-alone savings account transferring as little as $5 each transfer, which is great for newbies starting their emergency savings plans
Cons
Clarity is mobile only, but with such an easy user interface
- Clarity doesn’t currently allow for unique spending categories to be created and has a basic list of spending categories
- Clarity’s currently only available in the United States
Personal Capital‘s app makes it clear who was in mind when the app was developed. The look and feel are like reporting apps for most brokerage firms such as Etrade, Schwab and Fidelity. Removed are whimsical graphics like pigs and elephants, large dollar signs and the modern imagery of young people are accustomed. These are replaced with graphs, pie charts, line charts and numbers.
Like Mint, Personal Capital’s has the analytical Type-A persona in mind, especially those who are focused on investing and growing wealth. If you feel like you’ve graduated from Honeyfi or Clarity, Personal Capital is an obvious next choice, especially if you’re debt free and are ready to grow your portfolio.
Pros
Personal Capital has both an app and web interface, which is great for those who like to analyze and review investment performance
- The Fee Analyzer helps cut fees on 401(k)s
- The Investment Checkup helps users make better investment choices by eliminating fees, assessing risk profiles and creating appropriate portfolio allocations based on risk tolerance
Cons
Personal Capital’s app is not appropriate for those starting their debt freedom journey
- Personal Capital’s blog is focused on wealth management, not everyday money experiences
Whether you’re part of the 58% of the LGBTQ community that worries about money on a regular basis, one of the 35% who aren’t using financial tools or you just want an app to get on track financially, one of these five apps should help. The key to creating wealth is managing spending with a budget and the apps available today are amazing to achieving that. The key is to use them.
