Saturday, 19 December 2015

5 reasons why I don't use a budgeting app

I have tried it but eventually gave up. Here are the top five reasons why I do not fancy a budgeting app:

1. I don't like to do frequent data input.
It can get quite irritating at times if I forget to key in any income or expense and the figures don't add up. Also it's a headache to be counting 'every cent in the wallet'.

2. I consolidate spending / savings on 3 monthly basis, since online banking statements are usually laid out in 1-3 months frame. I do a personal cash flow excel sheet yearly (or half yearly, depending on my mood) and review what are the unnecessary expenses.

3. I have a rough mental monthly budget on regular fixed spending, example: daily meals, transport, insurance. Then I just take note of any infrequent, extra spending that month, example: books, clothes, gadgets, travel. Groceries are all accounted for using one credit card.

4. I am not at risk of negative saving. I only invest opportunistically, not keen on regular investment plans.

5. Data security reasons - I am not sure if the data would be use by the app developer for other purposes or sold to third party data collectors.

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Budgeting is a practice of discipline and habit but I would prefer to do it more flexibly and less stress-fully. If you think you have ZERO discipline in doing point 2, 3 and 4, then it might be useful to invest some effort and dollars on a budgeting app. But again, we would need quite a bit of discipline here to make full use of the app.

1 comment:

  1. I feel the same as well. Not everyone needs to use budgeting App or do budgeting in order to save money. Some people are just cultivated with frugality. Hence without any budgeting they could still save a lot.

    I used to use budgeting app, and I agree sometime is just so hard to record every single transaction...

    ReplyDelete

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