In order to effectively manage personal finances and maximize savings, it is crucial to have the right tools at one’s disposal. NBC News provides insights on the essential tools that can assist individuals in their money-saving endeavors. This article aims to highlight key resources that can help individuals track expenses, create budgets, compare prices, and make informed financial decisions. By utilizing these tools, readers can navigate the complex world of personal finance and achieve their savings goals in 2019.
Budgeting Tools
Budgeting is an essential aspect of personal finance management. To effectively manage their finances, individuals can utilize a range of budgeting tools that help track expenses, plan budgets, and save money. This article will explore some of the most popular budgeting tools available to consumers.
Expense Tracker Apps
Expense tracker apps are valuable tools for keeping track of everyday expenses. These apps allow users to input their spending details and categorize them accordingly. Additionally, expense tracker apps often provide visualizations and reports to provide users with a clear understanding of their spending habits. Popular expense tracker apps include Mint, Personal Capital, and PocketGuard.
Budgeting Spreadsheets
Budgeting spreadsheets are a traditional yet efficient method for managing finances. Excel or Google Sheets can be used to create personalized budgets, track expenses, and monitor savings goals. These spreadsheets often come equipped with templates and formulas to streamline the budgeting process. While budgeting spreadsheets require manual input, they offer a high level of customization and flexibility.
Envelope System
The envelope system is a budgeting technique that involves allocating cash for various spending categories. Users create physical envelopes for different expenses such as groceries, transportation, and entertainment. Each envelope is filled with an allocated amount of cash for that specific category. By physically separating money, individuals can visually see how much they have left to spend in each category, making it easier to stick to their budget.
Couponing and Rebate Tools
One of the best ways to save money is by utilizing coupons and rebate offers. Couponing and rebate tools assist consumers in finding and using these money-saving opportunities.
Coupon Websites
Coupon websites, such as Coupons.com and RetailMeNot, offer a plethora of digital coupons that can be used for online or in-store shopping. These websites provide a platform for retailers to showcase their discounts, allowing consumers to browse and choose the ones that suit their needs. Some coupon websites also offer loyalty programs to reward frequent users with additional discounts.
Rebate Apps
Rebate apps, like Ibotta and Rakuten, provide users with cashback or rebates on purchases. Users simply need to scan their receipts or make purchases through the app to earn cashback. These apps often partner with a wide range of retailers, making it possible to redeem offers across multiple stores. Rebate apps effectively help individuals save money on everyday purchases.
Digital Loyalty Programs
Digital loyalty programs, such as CVS ExtraCare and Target Circle, provide users with exclusive discounts and rewards. These programs are typically free to join and offer personalized discounts based on past purchases or shopping habits. By becoming part of a digital loyalty program, consumers can access significant savings and take advantage of targeted offers.
Price Comparison Tools
When making a purchase, it’s important to compare prices to ensure you’re getting the best deal. Price comparison tools assist consumers in finding the most affordable options available.
Price Comparison Websites
Price comparison websites, like Google Shopping and PriceGrabber, aggregate product prices from various retailers. Users can search for a specific item and compare prices across different online stores. These websites often provide additional information, such as product reviews and ratings, helping users make informed purchase decisions.
Browser Extensions
Browser extensions, such as Honey and PriceBlink, offer real-time price comparisons while users browse online stores. These extensions automatically scan for available coupons and discounts, ensuring shoppers get the best price possible. By integrating with popular e-commerce platforms, browser extensions seamlessly provide price comparison functionality without requiring users to leave the website they’re browsing.
Mobile Apps
Mobile apps, like ShopSavvy and Shopbrain, enable users to compare prices on the go. By scanning barcodes or searching for specific products, these apps provide instant price comparisons across various retailers. Furthermore, some mobile apps offer additional features such as price alerts, notifying users when desired products reach a certain price point.
Automatic Savings Tools
Saving money can sometimes be challenging, but automatic savings tools make it easier to build up savings without consciously thinking about it.
Automated Transfers
Automated transfers are a simple and effective way to save money. Users can set up recurring transfers from their checking account to a savings account or investment account. By automating the process, individuals ensure that a certain amount of money is saved on a regular basis. This approach eliminates the temptation to spend the money and encourages consistent savings.
Round-Up Apps
Round-up apps, like Acorns and Qapital, automatically round up the spare change from everyday purchases and transfer it into a savings or investment account. For example, if a user spends $3.50 on a cup of coffee, the app will round up the transaction to $4.00 and invest the additional $0.50. This micro-saving method allows individuals to save money without significantly altering their spending habits.
Micro-Investing Apps
Micro-investing apps, such as Robinhood and Stash, enable individuals to invest small amounts of money in the stock market or exchange-traded funds (ETFs). These apps often offer fractional shares, allowing users to invest as little as $5 or $10. By automating regular contributions and utilizing features like recurring investments, individuals can steadily grow their investment portfolio over time.
Meal Planning and Grocery Tools
Meal planning and grocery tools are invaluable for reducing food waste, saving money on groceries, and simplifying the meal preparation process.
Meal Planning Apps
Meal planning apps, like Mealime and Plan to Eat, provide users with a platform to create and organize weekly or monthly meal plans. These apps often offer features such as customizable recipes, automated shopping lists, and nutritional information. By planning meals in advance, individuals can streamline their grocery shopping and reduce impulsive purchases.
Grocery List Apps
Grocery list apps, such as AnyList and Out of Milk, allow users to create and manage shopping lists from their smartphones. These apps often provide features like barcode scanning, recipe integration, and list sharing capabilities. By utilizing grocery list apps, individuals can stay organized, avoid unnecessary purchases, and save money by sticking to their intended shopping list.
Store Loyalty Programs
Store loyalty programs, like Kroger Plus and Safeway Club Card, offer exclusive discounts and rewards to frequent shoppers. By signing up for these programs, consumers can access personalized deals, accumulate points, and receive additional benefits. Store loyalty programs are a great way to reduce grocery expenses and potentially earn rewards for future purchases.
Bill Payment and Management Tools
Managing bills and ensuring timely payments can be a time-consuming and stressful task. However, bill payment and management tools simplify this process and help individuals stay on top of their financial obligations.
Bill Reminder Apps
Bill reminder apps, like Mint Bills and Prism, help users keep track of their upcoming bills and due dates. These apps send notifications and reminders to ensure payments are made on time. Some bill reminder apps also offer features like bill consolidation, allowing users to centralize their bills in one location for easy management.
Online Bill Payment Services
Online bill payment services, like PayPal and Venmo, enable individuals to pay their bills electronically. These services often allow users to link their bank accounts or credit cards, making it convenient to quickly pay bills with just a few clicks. Online bill payment services offer an efficient and secure way to manage bills without the need for writing checks or visiting multiple websites.
Expense Calendar
An expense calendar is a simple tool that helps individuals visualize their monthly expenses. By tracking and recording expenses on a calendar, users can have a clear overview of when bills are due and how much they need to budget for each month. An expense calendar can be created using a physical wall calendar, a digital calendar app, or a budgeting software that includes calendar functionality.
Debt Reduction Tools
For individuals looking to pay off debt and achieve financial freedom, debt reduction tools can provide the necessary guidance and strategies.
Debt Payoff Calculators
Debt payoff calculators are online tools that help users create a customized repayment plan. By inputting their debts, interest rates, and desired payoff timeframe, individuals can calculate how much they need to pay each month to eliminate their debt. These calculators often provide various repayment strategies, such as avalanche or snowball methods, to help users choose the most effective plan.
Debt Snowball Method
The debt snowball method is a debt repayment strategy that involves paying off debts from smallest to largest, regardless of interest rates. By focusing on paying off the smallest debt first and then rolling the freed-up payment into the next debt, individuals experience small wins and gain momentum over time. This approach motivates individuals by providing a sense of accomplishment as debts are gradually eliminated.
Balance Transfer Credit Cards
Balance transfer credit cards allow individuals to transfer high-interest debt from one or multiple credit cards to a new card with a low or 0% introductory interest rate. By taking advantage of these promotional rates, users can save money on interest payments and potentially pay off their debts faster. However, it’s important to carefully consider the terms and fees associated with balance transfer credit cards before utilizing this option.
Energy Saving Tools
Saving energy not only helps the environment but also reduces utility bills. Energy saving tools assist individuals in optimizing their energy usage and minimizing wastage.
Smart Thermostats
Smart thermostats, like Nest and Ecobee, enable users to efficiently manage their heating and cooling systems. These thermostats can be programmed to adjust the temperature automatically based on occupancy or specific schedules. By ensuring that energy is only used when needed, users can significantly reduce heating and cooling expenses.
Energy Monitoring Devices
Energy monitoring devices provide real-time insights into energy usage within a household. These devices, such as Sense and Belkin WeMo Insight, measure the electricity consumption of various appliances and provide detailed reports. By identifying energy-hungry devices and understanding usage patterns, individuals can make informed decisions to reduce energy waste and lower their utility bills.
LED Light Bulbs
LED light bulbs are energy-efficient alternatives to traditional incandescent or fluorescent bulbs. These bulbs consume significantly less electricity while producing the same amount of light. LED light bulbs have a longer lifespan, reducing the frequency of replacements. Although LED bulbs may have a higher upfront cost, the energy savings and extended lifespan make them a cost-effective choice in the long run.
Travel Planning Tools
Whether planning a weekend getaway or a dream vacation, utilizing travel planning tools can help individuals find the best deals and make informed decisions.
Travel Comparison Websites
Travel comparison websites, such as Kayak and Expedia, aggregate flight, hotel, and rental car prices from multiple sources. These websites allow users to compare prices, find the best deals, and customize their travel itineraries. Additionally, many travel comparison websites offer features like price alerts and flexible date searches, enabling users to find the most affordable travel options.
Flight Tracker Apps
Flight tracker apps, like FlightAware and FlightRadar24, provide real-time information on flight statuses, delays, and gate changes. By using these apps, travelers can stay updated on their flights, anticipate changes, and avoid potential inconveniences. Flight tracker apps ensure a smoother travel experience and can save individuals from unnecessary stress and frustration.
Accommodation Discount Websites
Accommodation discount websites, such as Airbnb and Booking.com, offer a wide range of lodging options at discounted prices. These websites often provide user reviews, detailed property descriptions, and photos to assist travelers in making informed decisions. By utilizing accommodation discount websites, individuals can find affordable lodging while experiencing unique and diverse accommodations.
DIY Home Improvement Tools
Home improvement projects can be both rewarding and costly. DIY home improvement tools help individuals plan, execute, and manage their projects effectively.
Home Improvement Apps
Home improvement apps, like Houzz and HomeAdvisor, provide inspiration, guidance, and assistance for various home renovation projects. These apps offer features like virtual design tools, project calculators, and access to professional contractors. By utilizing home improvement apps, individuals can plan and visualize their projects, ensuring efficient execution and optimal outcomes.
Online Tutorials and Guides
Online tutorials and guides are valuable resources for individuals seeking DIY home improvement knowledge and skills. Platforms like YouTube and DIY blogs offer step-by-step instructions, tips, and demonstrations on a wide range of home improvement projects. By utilizing these resources, individuals can acquire new skills, save money on professional services, and successfully complete their DIY projects.
Tool Rental Services
For individuals who don’t possess all the necessary tools for a home improvement project, tool rental services provide a cost-effective solution. Companies like Home Depot and Lowe’s offer tool rental programs, allowing individuals to rent specialized tools and equipment for a specific duration. This eliminates the need for purchasing expensive tools that may only be used temporarily.
In conclusion, utilizing the right tools can significantly impact personal finances, enabling individuals to save money, manage expenses, and achieve financial goals. From budgeting and couponing tools to energy-saving and home improvement tools, there is a vast array of options available to consumers. By leveraging these tools, individuals can adopt smarter financial practices and make informed decisions, leading to improved financial well-being.
