Over the years, individuals across the globe have awakened to the critical need for bolstering their personal finance and financial literacy. The ever-evolving global economy presents a landscape of constant flux, with financial markets in perpetual oscillation, job landscapes undergoing rapid transformations, and the cost of living steadily on the rise.
In the face of such economic volatility, the imperative of equipping oneself with the right tools to navigate this intricate financial terrain cannot be overstated. Whether one is diligently charting a course toward securing their financial future, actively pursuing avenues for wealth creation, or simply seeking to make more informed and strategic financial decisions, the possession of essential tools can spell the difference between financial success and stagnation.
Recent research has shown that younger generations all over the world are becoming more financially literate than ever before. This shift signifies a departure from traditional norms, where financial matters were often considered complex and were largely managed by a select few. Today, the millennial and Gen Z generations are not only actively participating in financial decision-making but are also seeking to deepen their understanding of personal finance.
The world has entered an era that demands proactive financial management, where individuals are encouraged to seize control of their financial destinies and chart a course toward a future characterized by security and prosperity. So, the need for personal finance tools has increased – not only for their ability to support people in managing their finances without directly accessing it through banks but also for the limitless possibilities to invest in their future financial stability.
Here are the top 5 tools that are most needed for boosting personal financial management:
Sequence
Sequence, often hailed as the world’s pioneering financial router, has disrupted the way people manage their money. This innovative platform empowers users by providing a robust suite of tools to visualize their cash flow, set up intelligent routing rules, and take command of their financial assets scattered across various accounts.
What sets Sequence apart is its seamless integration capabilities. It acts as the ultimate liaison, forging connections between users’ bank accounts, financial apps, and credit cards. This integration is more than just convenience; it’s a game-changer in financial management. Through Sequence, users are no longer passive spectators in the realm of finance. Instead, they become orchestrators of their financial destiny, exercising precise control over how their money is utilized and where it’s channeled.
Goodbudget
Goodbudget is a hands-on envelope budgeting powerhouse that distinguishes itself by focusing on proactive financial planning rather than passive transaction tracking. Following the envelope budgeting system, users allocate their monthly income into specific spending categories, aptly termed ‘envelopes.’
Unlike apps that automatically sync with users’ bank accounts, Goodbudget requires users to manually input their account balances, cash holdings, debts, and income sources (which can be easily retrieved from their bank’s website). Once this financial snapshot is in place, users can distribute their funds into these designated envelopes. Goodbudget underscores the notion that when it comes to personal finance, a little manual effort can significantly contribute to gaining control and clarity over one’s financial journey.
Credit Karma
Credit Karma is a user-friendly financial tool that has an intuitive interface that allows users to seamlessly track their credit scores, monitor various loan accounts, and explore tailored offers based on their unique credit profiles.
Beyond these core features, Credit Karma provides an extra layer of value with its ‘Unclaimed Money’ section, conveniently located within the Resources tab. Here, users have discovered unclaimed funds, such as long-lost reimbursement checks and insurance claims initially sent to outdated addresses. Credit Karma not only offers a comprehensive financial snapshot but also proves itself as a platform that empowers users to claim what’s rightfully theirs.
PocketSmith
Beyond its budget tracking capabilities, the web-based financial tool PocketSmith offers a unique feature: cash flow forecasting. With this tool, users can gain insights into their future bank balances, projecting as far as 30 years ahead.
PocketSmith allows users to input various scenarios for their accounts, and the platform dynamically adjusts financial outcomes based on these inputs. This forward-looking approach empowers individuals to make informed financial decisions, aligning their actions with their long-term financial goals.
TurboTax
TurboTax emerges as a straightforward solution for tax filing, providing users with a guided step-by-step process that delves into their financial circumstances. The software simplifies tax preparation by prompting users with relevant questions tailored to their unique financial situations.
In numerous instances, TurboTax streamlines the process by allowing automatic importation of W-2 information directly from employers. Those with uncomplicated tax returns may find the TurboTax Free Edition suitable, while users with more intricate returns might incur higher charges for TurboTax services, aligning with the complexity of their financial situations.