Best Budgeting Apps: 4 Budget Apps for Managing Your Finances in Kenya
Last updated on 12/08/2024
Have you ever tried to create a budget? It’s not always easy, is it? Many people find the process tedious and overwhelming, often giving up before they even start. But what if there was a way to simplify this crucial financial task?
Enter budgeting apps. These digital tools can transform your approach to money management, making it easier to track spending, set financial goals, and achieve financial well-being.
Whether you’re looking to recover from a job loss or simply want to take control of your finances, budgeting apps can be your new financial sidekick. Let’s explore how these apps can help you reach your financial goals.
For the longest, I have been on the manual budgeting method, i.e., a budget planner book and a spreadsheet. At some point, I developed a comprehensive budgeting spreadsheet to use and also created a budget planner book because a budgeting app wasn’t working for me.
Lately, though, I have given some thought to budgeting apps and decided to go into research mode. I will be trying a few of the apps I will be discussing here. That’s not to say I am bidding goodbye to my budget planner book and spreadsheet. Nope! Still, it feels good to have a variety of options.
Disclaimer: There are numerous budgeting apps in the market. However, for this article, I focused more on apps that are available in the Kenyan market and have numerous downloads and reviews.
Without further ado, here are some of the budgeting apps to consider.
You Need a Budget (YNAB): Best for Goal Setting
This budgeting app allows you to account for every last cent of your paycheck and know where your money is going- from spending on essentials to paying off debts. Thanks to this zero-budgeting method, YNAB encourages you to allocate your income to specific categories and live within your means.
Key Features:
- Zero-based budgeting – with this system, you assign a purpose for every dollar, ensuring that your spending aligns with your financial goals.
- Real-time syncing – the app syncs with your bank accounts and updates your budget in real time, giving you an accurate picture of your finances at any moment.
- Goal tracking – YNAB allows you to set and track financial goals, whether you’re saving for a big purchase, paying off debt, or building an emergency fund.
- Detailed reporting – YNAB provides detailed spending reports, helping you analyze your financial habits and make informed decisions.
Pros:
- Focus on goal achievement
- Proactive budgeting
- User-friendly interface
Cons:
- Bank syncing is only available in North America and Europe
- The subscription fee can be expensive
- Doesn’t have an investment tracker
Pricing:
YNAB offers a free 34-day trial, after which it costs $14.99 per month or $99 per year if paid annually.
GoodBudget: Best for Envelope Budget System
Are you an envelope budgeting system enthusiast? The envelope budgeting system is where you have an envelope for every expense category, like utilities, transport, medical, savings, investments, rent, etc. When your salary comes, you put money for each category in its specific envelope and spend it from there.
So, let’s assume I have allocated KShs 10,000 to my monthly transport needs. At the beginning of my monthly budgeting cycle, I’ll put KShs 10,000 in the ‘Travel’ envelope. Then, I’ll be taking money from this envelope to only pay for transport expenses. The same applies to every expense category. When funds run out from any category, I am not allowed to take it from another category.
Does this sound like your budgeting method? In that case, GoodBudget might be the ideal option for you for a budgeting app. GoodBudget takes a unique approach to budgeting, utilizing the envelope budgeting method. This makes it an excellent option for individuals and families who want a straightforward, intuitive way to manage their finances together.
Key Features:
- Envelope budgeting system – manage your finances using a visual system of virtual envelopes for each spending category.
- Shared budgeting – collaborate with partners or family members to create and manage a joint budget.
- Goal tracking – set specific financial goals and track your progress toward achieving them
- Debt tracking – includes tools for tracking and paying down debt, helping you achieve your financial goals faster
- Import bank transactions – simplify data entry by importing transactions directly from your bank accounts
Pros:
- Offers a free tier
- Syncing across devices
- Provides a history of transactions
Cons:
- Bank syncing is only available in the US
- The free version has limited envelopes and features compared to the paid version
- Subscription Fee for additional features
Pricing:
GoodBudget offers a free version and a premium version costs $10 per month or $80 per year.
Related Read: 50/30/20 Budgeting: Is It Right For You?
Buddy: Budget Planner App: Best for Couples
Buddy: Budget Planner App is a visually appealing and user-friendly budgeting tool designed to help you manage your finances with ease. The app focuses on making budgeting collaborative and enjoyable, with features that allow you to track your spending, set budgets, and work towards your financial goals. Buddy is ideal for individuals, couples, or groups who want to take a more engaging approach to budgeting.
Key Features:
- Customizable budgets – Buddy lets you create and customize budgets based on your financial goals, making it easy to track your spending across different categories.
- Collaborative Budgeting – the app supports shared budgeting, allowing you to manage finances with a partner, family, or friends by syncing across multiple devices.
- Recurring transactions – the app allows you to set up recurring transactions, ensuring that regular expenses are automatically accounted for in your budget.
- Expense tracking – easily log and categorize your expenses to see where your money is going and adjust your budget as needed.
- Visual insights – Buddy offers clear, visually engaging charts and reports that help you understand your spending habits and financial progress.
Pros:
- Easy-to-use interface with customizable budget categories
- Collaboration features, perfect for couples or groups
- Visual insights that clearly present your financial data
Cons:
- Limited features compared to some competitors
- Buddy requires a subscription fee to access all functionalities
- Only available on iOS
Pricing:
Buddy offers a monthly subscription of $9.99 or an annual subscription of $49.99 to unlock more premium features.
Money Manager: Best for Free Option
If you are looking for a free budgeting app, Money Manager Expense & Budget by Realbyte Inc. is an excellent option to consider. With its user-friendly interface and robust features, it’s a simple yet effective tool to monitor your finances.
Key Features:
- Expense tracking – the app allows you to record and categorize your expenses, making it easy to see where your money is going.
- Budget setting – you can set budgets for different categories and track your spending against those budgets in real time.
- Double-entry bookkeeping – Money Manager uses a double-entry bookkeeping system, which provides a more accurate and detailed view of your finances.
- Financial calendar – the app includes a financial calendar that helps you keep track of upcoming expenses and income, ensuring you never miss a bill or payment.
- Filtering – a reinforced filtering option to help review your transactions.
- Photo saving – you can save photos of receipts and items you spend your money on.
Pros:
- Free Version Available
- User-friendly interface with a straightforward design
- A financial calendar that helps with planning and staying organized
Cons:
- Limited free version functionality
- Potential Learning Curve
- The free version incorporates advertisements
Pricing:
Money Manager Expense & Budget offers a free tier with limited features. A premium subscription unlocks additional functionalities for $2.49 per month or $19.99 if paid annually.
What is a Budgeting App?
A budgeting app is a mobile application, simply referred to as an app, that helps you plan and track your finances. Think of it as any mobile app, but just for your money planning and tracking purposes. These apps allow you to categorize your expenses, track your spending habits, and set financial goals.
Thanks to the money planning and tracking of budgeting apps, you can view your financial position at any given time; as long as you have updated your transactions, of course. Budgeting apps also help you identify areas where you might be overspending, and make informed decisions about how to allocate your resources more effectively.
Like all other apps, budgeting apps are built differently. However, most of these apps will offer basic features that enable you to manage your finances more intuitively. These include automatic transaction tracking, where the app syncs with your bank accounts and credit cards to update your spending in real time automatically. This eliminates the need for manual data entry, saving you time and reducing the chances of errors.
Another common feature is the ability to create customized categories for your expenses. This helps you tailor the app to your specific needs, whether you’re managing everyday expenses like groceries and utilities or planning for bigger financial goals like saving for a home or paying off debt. Some apps even offer tools to set and monitor financial goals, helping you stay motivated and on track.
Budgeting apps are also designed to be user-friendly, with interfaces that are easy to navigate and understand. Whether you prefer a simple layout or more detailed analytics, there’s likely an app that fits your style. Additionally, many apps offer reminders and alerts, ensuring that you stay on top of your budgeting efforts without having to check the app constantly.
How to Choose the Right Budgeting App
The good news is that there are numerous budgeting apps in the market to choose from. The bad news is that choosing the right one will not be a walk in the park. That doesn’t mean giving up on the process.
If you are in the market for a budgeting app for managing your finances, here’s how you can choose the best option that suits your specific needs.
User Interface and Ease of Use
Whether you are a tech person or not, any complicated app is already a mood killer. Now, imagine using such an app for an already overwhelming task. As such, the best budgeting apps are those with a user interface that’s easy to understand and navigate. How easy is it to enter and track transactions?
Essential Tools for Your Financial Journey
Every budgeting app offers a unique set of features. Think about what tools are essential for you. Do you need robust goal-setting capabilities? Are bill pay reminders a must? How important is customization? Make a list of your priorities and compare apps accordingly.
Integration with Bank Accounts and Financial Tools
Speaking of features, in this digital age, the integration of software tools has become the norm. And when it comes to your personal finances, it can be such a game changer.
While it’s not a must-have feature, a budgeting app with the ability to sync with your bank accounts, credit cards, and other financial tools is very convenient. This integration allows the app to automatically track your income and expenses, providing real-time updates on your financial status. If this is important to you, ensure you choose a budgeting app that integrates with your bank or other financial institution to avoid manual data entry and save you time.
Security Features and Data Protection
Since you’ll be linking your financial information to the app, security is a top priority. Look for apps that offer robust encryption and other protective measures to safeguard your data. Check for features like two-factor authentication, and make sure the app complies with industry standards for data security. This way, you can manage your finances with peace of mind, knowing your information is secure.
Compatibility with Devices
As much as we go for apps due to the portability and ease of access to information, it’s still important to consider the compatibility of the app with other devices. Can you access it on your tablet? Or your desktop? This ensures you can access your budget wherever you are, whether at home or on the go.
Cost: Free vs. Paid Options
Some budgeting apps are free, while others charge a subscription fee. Free apps can be great for basic budgeting needs, but they may come with ads or have limited functionality. Paid apps, on the other hand, often offer more advanced features such as detailed analytics, goal setting, and customer support.
So, what’s the best option? First, think about what you need. Then, consider what the app offers, whether it’s paid or not. If it’s the paid option, does the subscription match your wallet?
Customer Support and Community Feedback
Finally, how is the community feedback from other users? Also, how is the customer support? Does the app offer support through email, chat, or phone, and how responsive are they?
Community feedback can give you insights into the app’s reliability and how well it meets users’ expectations. On the other hand, great customer support ensures you have a reliable team if you run into issues or need help understanding the app’s features.
Budgeting Apps Alternatives to Consider
As I said before, budgeting apps are not for everyone. Maybe it is the pay option for advanced features. Or the extra cost of paying for internet to access the app. Perhaps, you have concerns about privacy. Whatever the reason, there are alternatives to help you with your budgeting needs.
The Good Ol’ Pen and Paper
If you love writing things down, the good old system of putting pen to paper is still your best friend. While it might be less convenient than digital options, it can also be a mindful way to track your finances.
These days, there are endless options of budgeting planner books to choose from. From pocket-sized notebook-size planners to bigger-sized and more comprehensive options. From dated to undated planners that allow you to start your budgeting journey any month of the year.
The choices are endless.
Spreadsheets
Want a more comprehensive and intuitive manual approach? Spreadsheets make for an excellent budgeting app alternative.
The flexibility of spreadsheets allows you to design your budget from scratch, set up categories, track expenses, and even create charts to visualize your financial data. However, manual data entry and maintenance are required, which might be time-consuming for some.
You can create a budget tailored to your needs with tools like Microsoft Excel, Google Sheets, or Apple Numbers. However, with paid options, you can get more comprehensive budgeting spreadsheets. These have tracking options for your goals, investments, net worth, and calendars.
Cash Envelope System
Remember the cash envelope system I explained earlier? Yes, that same one. This system is an excellent alternative if you struggle with overspending. Why? Because it limits your spending for anything to cash you have on hand for that particular expense.
Fortunately, you don’t have to spend an arm and a leg for this budgeting system. You can purchase simple envelopes from the shop close to you and label (or write down) the name for each category. However, if you are looking for more unique, already categorized, and, perhaps beautiful options, there are budgeting envelopes and budget binders.
Marlow marion
This is so insightful and opportune as I am looking for a Budget App. I am on the second month of tracking my expenses and been doing it manually in my money journal. Thank you!
Enid Kathambi
Thank you, and all the best with the budgeting.