Are your finances where you want them to be? About two-thirds of working adults say they wish their money situation was better than it is. The trick is figuring out how to boost your bottom line without taking on a second job or having to log overtime hours where you already work. Technology is the answer for many who face this monetary challenge.
How can technology strengthen financial health? In all sorts of ways, according to consumer counselors, and you do not need to be an IT wizard to brighten your money situation. Consider that there are currently about 40 million people who use simple apps to help them save, several million who take out student loans online each year, and countless numbers of others who employ the internet or downloaded apps to invest, make budgets and refinance mortgages. The following strategies are among the most popular ways that people use technology and online resources to improve their overall monetary situation.
Use a Savings App
Savings apps are easy to download and easier to use. They work in a number of different ways. Some simply remind you to transfer x amount of money to your savings account on a periodic schedule. Others can directly send money from one account to another or work with your budget spreadsheet to add a predetermined amount of cash to savings each month, week, or quarter. The best thing about this kind of technology is not its sophistication but its ability to calculate exact amounts and to bother us a bit when it’s time to cut spending and boost the amount we put away for a rainy day.
Borrow to Fund Educational Goals
Technology has made borrowing for college as easy as buying movie tickets. That’s a good thing for anyone who wants to advance a career, finish a PhD, or obtain teaching credentials. People who have college degrees typically earn back the cost of that education about 45 times during their careers. The problem for most is getting started and finding the funds to begin school.
Automated investment is no longer a futuristic concept, as it is the way savvy consumers build wealth. Whether you use an app or an online platform to invest, you can set up your account to withdraw a fixed amount from your bank each month, automatically. That money is added to your investments and works to build up your net worth slowly. To get everything in order, you need to sign up with your broker and your bank so the two institutions can coordinate the money transfers.
Use Technology to Create the Perfect Budget
One of the most helpful things that basic computer programs can do is create realistic, dynamic monthly budgets. Simple programs like Excel have enough functionality for even high income folks to build from-scratch budgets that work and can be easily amended.
Find a Planning App to Set Goals
Some of the newer goal-setting apps are financial advisors in robotic form. The better ones will ask you as many as 50 questions to get a feel for your personal preferences and financial means. After that, they’ll build a set of short, medium and long-term goals for you.