The best free tools to help you budget
The idea of proactively managing money and sticking to a budget may not appeal to everyone. However, making a budget – and sticking to it – is an important first step toward achieving both large and modest financial goals. It's also becoming increasingly important in light of the current economic situation.
"As inflation rises, consumers are paying more attention to their budgets," says Sonali Divilek, Chase's head of digital products and channels.
It's critical to have the correct tools to track spending and monitor income, and fortunately, you don't have to spend a fortune on expensive software to do so. Here are 10 simple and free budgeting tools to help you stay on track with your spending, ranging from old-school ways to the most up-to-date apps:
1. Mint
Mint is one of the first budgeting tools available online. Users may connect their accounts to Mint, much like they do with Personal Capital, to track everything from budgeting to investing accounts. Mint also includes a bill and subscription tracker, as well as credit monitoring features.
Personal Capital is geared at investors, whereas Mint is geared toward budgeters. You may set savings goals, create cost categories, and keep track of your payments. Mint makes money through advertising, so expect to see personalized offers for credit cards, bank accounts, and other financial goods.
2. GnuCash
GnuCash Accountants will appreciate GnuCash. You may keep track of your bank accounts, stocks, and even the profits and costs of your small business. Reports, graphs, and a checkbook-style register help you view your statistics clearly. Accounts may be tracked in several currencies, checks can be printed, and double-entry accounting assures that your accounts are balanced.
This sophisticated software is open-source and absolutely free. Users of GnuCash are always adding new features to make finances more personal. Your current accounting software may be able to import QIF and OFX bank account documents.
GnuCash is compatible with the majority of PC, Mac, and Linux operating systems. A mobile version for Android is also available.
3. Visualizer for Portfolios
Portfolio Visualizer isn't intended to be used as a budgeting tool. Instead, it provides customers with tools to help them analyze their assets. Portfolio Visualize provides data on performance and risk, among other things, when you enter your investments. You may also see how your portfolio stacks up against other lazy portfolios like the 3-Fund Portfolio.
The tool comes with a slew of extra capabilities. Monte Carlo simulations can be used to test a portfolio. It allows you to model lump-sum investments, regular contributions, and regular withdrawals, making it handy regardless of where you are in your investing journey. Factor analysis, portfolio optimization, and timing models are also available (e.g., momentum).
4. Google Sheets
Sometimes the most basic budgeting tool is the most effective. You have the option of using a pre-made Google Sheets template or creating your own. The online sheet may be more user-friendly than keeping track of every dollar and cent on paper. Although each event must still be manually entered, your budget spreadsheet can be customized.
Google Sheets is available from any computer or laptop, which is one of the finest reasons to utilize it. When you give others edit access to the sheet, they can make changes to it.
Tiller Money can automatically pull your transactions (from your credit card, bank, etc.) onto your sheet for you if you want some automation.
5. Pen and some paper
While budgeting tools and software are popular, you can construct a budget with nothing more than a pen and paper. Writing down all of your spending, from monthly bills to little discretionary purchases like morning coffee or lunches, is the foundation of the budgeting process. Then, classify those expenses as either needs or wants. After that, sum up your earnings. Spend any money left over on wants after you've taken care of your basic requirements.
If your expenses outweigh your income, you'll need to make some adjustments. You may be able to balance your budget by eliminating wants like dining out or a gym membership, but you may need to consider other options in some circumstances.
6. Goodbudget
Goodbudget is a budgeting program that employs the envelope concept. Goodbudget has a free and paid version that allows you to pay off debt and set savings goals. The app is designed for mobile devices and allows users to sync and track their money across many platforms.
Goodbudget also has a Bootcamp for folks who are new to budgeting and money management. The Bootcamp covers everything from putting money aside for an emergency to budgeting as a couple to purchasing a home.
Truebill can assist you in keeping track of your spending, setting savings goals, and reducing recurring expenses. You may get expenditure information and create a basic budget by syncing your money accounts. Truebill gives free how-to instructions for cancelling subscriptions.
Truebill can also help you negotiate lower-cost invoices. Starting the negotiation process is completely free. For the first year, Truebill keeps 40% of the overall savings as a success fee. At the very least, you won't have to call and do it yourself. If you have a cable television bill or a contract cell phone plan, you can save the most money.
Truebill is compatible with all computers and mobile devices. Although their iOS and Android apps include additional automation options.
8. Envelopes
Using an envelope system, you put money into envelopes labelled with important budget areas like food, clothing, and dining out. It's simple to check how much money is available for each category of spending.
According to Howard Dvorkin, CPA, and chairman of Debt.com, "the envelope approach is an excellent tool for budgeting since it forces people to take control of their expenditures with cash in hand." When the money in a particular envelope runs out, it's time to put a halt to that area of spending until the cash is replenished.
9. Wally
Wally is a free budgeting program that requires manual entry of transactions. The annual fee for automatic bank account connecting is $1.99. Budget categories can be color-coded, and group budgets can be created. Wally allows you to capture images of receipts, making expense monitoring simple.
The free version of Wally is ad-free, which is one reason to consider it. You can make in-app purchases to take budgeting to the next level, just like most apps. Currency conversion, bank account linkage, and other advanced budgeting and data export options are among the premium tools.
Wally is only available for iOS and Android devices as an app.
10. Spreadsheets
Use a spreadsheet to keep track of your income and expenses in a very flexible way. Dvorkin says, "Downloadable budgeting spreadsheet templates with formulas, dates, and labels are accessible." "By removing the guesswork from budgeting, this technique can make it simple to alter a budget and track income."
Microsoft Excel and Google Sheets users can both obtain free budget templates. You can also make your own, albeit using the programs requires some practice. Microsoft offers free online training programs for its Office products on its support website. Otherwise, YouTube has a wealth of tutorials.
Please have a look at my other blogs too: