Do you keep on wondering where your money vanished at the end of every month? Well you are not alone. It happens to everyone especially with people still in their 20s. And this is not just a onetime thing. It has become a part of our life just like the way the sun always rises in the east. Keeping a track of the expenses, understanding what accounts for the maximum expenses are some of the important elements for financial well-being. One way to check where you spent your hard-earned money is to keep track of the expenses through an expense manager app. An expense manager app can help you to understand to your key spending areas and accordingly manage your budget. In today’s consumer driven world, it has become easy to spend money without a single thought. While our parents and grandparents used to keep a track of the expenses on a notebook, it is convenient to keep a track of the expenses on an expense manager app.
Once you download the money management apps and connect with your bank accounts, it will automatically categorise all your expenses into the different categories such as food, dining, online shopping, education, cash withdrawal etc. As with other apps, it needs to be taught. Initially the user has to feed the app with the transactions and shift the expense into proper categories. Some of the apps let you to set a budget limit so that you don’t exceed the threshold limit.
The main benefit of using a budget app is to gain financial awareness. Don’t be a servant of money, be a good master with these budget apps. Sometimes small regular expenses can create havoc in our finances. In order to build wealth, it is in the details, small things, that matter more than one time expensive purchase. E.g. if you smoke 4 cigarettes per day which cost you around Rs. 60 per day, the total bucks you have shelled out at the end of the month would be around Rs.2,000. Another example would be the hitting the pub every Friday evening. Going to a pub would easily cost Rs.2,000. If we assume that you hit the pub every Friday, then the total monthly expenditure on pubs would be around Rs.8,000. Using an expense manager would help you to figure out the hole and mend it before it sinks the ship.
One of the brilliant features of the expense tracker app is its categorisation into different categories. This will help you to realise the areas where you are spending the most. Understand your habits and tweak it accordingly. No one likes a hangover and keeping a track will help you to avoid a financial hangover.
Having a budget is one of the prerequisites of having a financial fulfilling life. You can set a budget and can always keep a track of the budget on the expense tracker app. Instead of assigning a number to your budget, it will be better if you have a maximum figure for the various categories such as eating out, gifts and shopping.
Out of the all the many apps in your phone, an expense tracker app is one of the most useful app in your phone. However, you need to be patient with such apps to gain the maximum benefit out of the apps.
Coming up: Best expense tracker apps in India
