As we approach a new year, it’s a great time to find good personal finance software to get control over your finances as part of your New Year's resolutions. No matter how well you manage your funds, finding easy-to-use software can help you:
- track and categorize spending
- manage multiple bank accounts
- create and maintain a budget
- manage your debt
- pay bills by sending reminders of when they're due (some even manage your bill payments).
· 1. Keeping It Simple: You Need A Budget
You Need A Budget can be operated from an app on your desktop or using apps on your iPhone, iPad or Android device. The YNAB system is based on four rules.
Rule 1: Give every dollar a job.
Your money shouldn’t tell you what to do. You’re the boss. The drill
sergeant. The maestro. When you earn money, you plan how
you’ll use it, then you follow your plan.
sergeant. The maestro. When you earn money, you plan how
you’ll use it, then you follow your plan.
Without Rule One:
You see the $500 account balance, get the false idea that you’re flush with cash, and go out for sushi at your city’s finest for $100. A few days later some bills come due and you’re in a pinch.
With Rule One:
You have $500 in your checking account. You give each of those dollars a job by dividing the $500 into various categories:
$150
|
$10
|
$40
|
$100
|
$200
|
Food
|
Eating Out
|
Gas
|
Utilities
|
Car Payment
|
Total Budgeted: $500
| ||||
You don’t look at your $500 account balance and say, “Wow, that’s a ton of money! Sure!” You look at your ‘Eating Out’ budget balance of $10, wince, then smile, and invite your friend over to split a $5 pizza. A few days later some bills come due and you pay them with ease.
