Benjamin Franklin once said - "Beware of little expenses; a small leak will sink a great ship."
Expense tracking is highly significant for both business enterprises and individuals. Writing down monthly expenses in a diary or recording them in an excel sheet is a cumbersome affair, especially in times when you can haul the entirety of your financial management over to a smart app.
Before delving deep into the nuances of money management apps, let's discuss the pain points of conventional expense tracking methods:
The hassles of paperwork or maintaining several excel sheets.
Considerable time consumption.
Too meticulous to follow daily amidst a busy work schedule.
Lack of assistance in making smart decisions toward investments.
Let’s now explore the 7 best reasons to use a money manager app.
Apps such as ETMoney and mTrakr track your expenses automatically through SMS and divide them into categories such as dining, travel, utility, shopping, and miscellaneous. These apps consolidate multiple bank account balances and expenditures (either through credit card, debit card, net banking, or e-wallets) under one roof.
So, along with alerting you about bill payments before the due date, the app also enables you to pay directly, which will save you from falling under any penalties. Another easy-to-use app called Chillr takes care of your mobile banking and utility payment requirements. It manages multiple bank accounts at once, and lets you transfer money instantly, recharge your mobile phone, and pay at stores by scanning QR codes.
Also, you can track a comprehensive list of expenses on this app by generating monthly transaction statements. To cut a long story short, apps like ETMoney and Chillr are the one-stop solution for users to keep a hold on their finances entirely, especially by preventing splurges.
A mobile-based money management app such as ET Money can guide you to invest in top ELSS mutual fund schemes and set up SIPs to suit your requirements. Based on your credit score, you can also get an instant loan through this app without the hassle of massive paperwork.
Expense manager apps like Mvelopes allocate your monthly budget to multiple categories such as food, conveyance, and house rent, and helps you in realizing a customized budget. Money management apps also give you the provision of streamlining your income and expenses, which helps optimize your savings.
For example - in the ETMoney app, when you allocate a particular budget for your expenditures, investments, and EMIs systematically, then determining a fixed amount of savings becomes easy.
Chillr lets you book your trips and movies, on which you can enjoy personalized deals. The cherry on the cake is that all these expenditures will be tracked on the monthly statement which will let you identify overflow in your spendings if any.
Expense tracking apps help you in tracing all your utility and credit card bills under one roof. Your card transactions automatically get fed to the expense tracking app.
However, to keep a tab on cash transactions, you would always need a bill. The role of a money management app like Monefy comes into play here - it lets you click pictures of all the invoices that you have and helps you in maintaining a record of it. Isn't bill management a piece of cake now?
When you adopt a conventional method of expense tracking, calculating expenses and allocating a budget at the same time becomes convoluted, especially for businesses and joint families where several members are included. Money manager apps have an in-built calculator which does the calculation for you on the spot, leaving no room for error. It also helps in boosting the productivity of the individual by making daily routines fast and efficient.
Apps like Chillr and Splitwise can be used to split bills among a group of friends. Along with that, you can also send reminders to your friends to pay up the money that they owe you.
Numerous money manager apps that fit particular functions have made their way into the market to make budgeting simple; however, you can't trust each one of them. Hence, it is necessary that you find out the one that fits your requirements and has a good number of ratings/high number of users on google play store and iOS.
An integrated bill payment system, customization, convenience, budgeting, and security are some of the features that you must keep in mind while choosing money management apps.