The Future is Millennial Money Apps - Wealthy Self

The traditional budget is dead and the future belongs to money apps

Have you ever wondered why, like so many people, your savings haven’t increased much over the last 5 years? If you’re earning a combined family income of, say $150,000, that’s an income of approx $750k over the same time period – and that’s a lot of dollar right?

If you find yourself in this boat, scratching your head with wonder as your bank balance sits still, simply put, you’re probably spending as much as you earn. 

“But where does it all go?!” 

Good question. If you’re asking yourself this right now, not finding the answer to this question will keep holding you back from taking control over your entire financial situation. 

If you feel like you’re stuck in a cash flow vortex, now’s the time to start figuring out your finances. And if you’re adverse instead of using a traditional  paper or spreadsheet budget, you are not alone – they are sooo last decade!

Good news is that sitting down with all your receipts, bank statements and a spreadsheet is a thing of the past, with the rise of automated cash flow money apps and software on the market, so you can know your real-time financial position wherever you are.

Here at Wealthy Self, we offer (and encourage!) all of our ongoing clients our own Wealthy Self app, which links up with all your financial institutions so you know exactly how much is coming in, how much is going out and importantly – where your money is going each month. This is important because it’s hard to curb or change your spending/savings habits if you don’t realize that you’re actually spending much more on Uber Eats than you thought. Plus you can still have fun on a budget!

Other reasons why using a real-time cash flow money app is useful:

You can see how much you really earn after tax

It’s easy to think that you earn more than you actually do (who checks their payslip each month?!)  Once you factor in your tax contribution, you may be surprised (and possibly annoyed) about how much you give back to the Government each month. The key takeaway is to think about your salary in net terms, i.e after tax, as this is how much you actually take home to save towards your goals. For instance, if your salary is $100k gross, after tax, this reduces down to $74,283 which is what you live off and is substantially less.

You can see how much you actually spend (not what you think you do)

Everyone thinks they’re a good driver right? When in fact we know that not everyone is, but we’re unlikely to own up to it! When it comes to finances, most of us can improve our knowledge, particularly in our own financial situation. Through an automated cash flow app, you can see exactly how much you spend, what you spend it on and when you spent it, so you’ll get a really honest picture of what you’re doing with your money. This may come as a shock in the beginning, but we promise you, “knowledge IS power” so if you know, you have the power to change it. And if you find it challenging to manage your money mindset, we’ve got some awesome tips for you here!

You can take action and do something with the difference

Once you know what you really earn and spend, then you will know what you have leftover. Simple right? When you combine the knowledge with action, this is where you can start to see your savings soar! Find out what you’re passionate about, make a financial goal around it and whatever you save, put this towards your goal – trust us, cutting back on a few dinner dates is well worth the feeling of achieving your financial goal!

Real time money app data at your fingertips

With a few taps on your phone, you can see in real-time, the coffee you just bought out which means you’ll never have any nasty surprises – like running out of money for the month! I’m sure you’ll agree it’s sooo much easier than checking in on that old, dusty spreadsheet. Plus, if you have more than one bank account, you can link them all up in the one app so you’ll see your real-time financial position all the time!

With so many money apps on the market, it can be a mine-field to figure out what works for you. If you are interested in transforming the way you live financially, get in touch or book in chat and we can get you started on the right path to taking control of your cash flow.  


General Advice Disclaimer

This blog contains general advice only. You need to consider with your financial planner, your investment objectives, financial situation and your particular needs prior to making any strategy or product decision. InterPrac Financial Planning Pty Ltd and its authorised representatives do not accept any liability for any errors or omissions of information supplied in this document except for liability under statute which cannot be excluded.