What are budgeting apps and how to use them?

A budgeting app is an app that helps you track your income and spending and makes it easier for you to have control over your money.


Mani Dhanoa

October 12th, 2023·5 min read
What are budgeting apps and how to use them?

A budgeting app is an app that helps you track your income and spending and makes it easier for you to have control over your money. Depending on the app, some may connect to your bank account and credit card and categorise your spending to match the budget you choose.

The budgeting app you decide to pick is important and it is best to pick one based on which features are tailored to your individual needs the best. All kinds of people or groups need to budget such as students, families and businesses.

Apps on the Market

We’ve done a bit of research and can try to help you make the decision of which to choose. Below is a list of budgeting apps and their niches:


Voted as the best finance app in 2022, this app is suited for a broad range of people. Powered by AI, it calculates how much money you can spend and also save. It removes small amounts of money into a savings account from your current account periodically to help you save.


For people with shared bank accounts, Honeydue allows you to see one another’s bank accounts, loans and transactions with the freedom of choosing what you allow the other person to see. The app also has a built-in texting feature where you can discuss your expenses.


“Sign up for a FREE one-week trial”… we all know how this story goes. You end up paying for the subscription along with all the others, it all adds up. Emma can help remove all that mess, a powerful app that helps cut down on wasteful spending and also allows for commission-free stock trading on the companies you love.


The go to tool to manage your Cost of Living, Mydus can automatically categorise your finances into the 50/30/20 rule (see below), and in doing so help you end up with more at the end of the month, in term more at retirement.


Has the world’s first AI assistant dedicated to personal finance, you can ask questions at any time and learn about your finances in a stress-free, easy way.


Receive notices about upcoming bills, suggestions on where you could be saving money and track spending across multiple accounts.

Tips & Tricks

They all have their unique features but you have to find the right app for you. Here’s a few things to consider when picking a budgeting app:

  • Ease of syncing with bank accounts
  • The way it categorises your expenses- visual charts etc
  • Your financial goals
  • Fees
  • Security and privacy
  • Ease of access
  • Check customer reviews

If you decide on using a budgeting app, or just decide to wing it, these tips on how to best use a budgeting app will be of use regardless:

  • 50/30/20 rule: see the section below for more information.
  • Understand your income: so you can set yourself goals on how much is a fair amount to save and what for.
  • Be mindful when purchasing things
  • Separate needs from wants
  • Consistency and patience- it is hard to cut down on spending and it won’t come easily, but will get better with time
  • Familiarise yourself with the software – some apps have very cool features or features that are hard to wrap your head around.

What is the 50/30/20 rule?

The 50/30/20 rule is a simple rule that is helpful when managing your spending. The table below explains each section.

% of SalaryNameDescription/Examples
50Needsrent, car payments, groceries, insurance, and health care
30Wantsthings that are not absolutely essential such as gym instead of at-home workouts, eating out, going to the cinema, expensive clothes
20Savingsthis includes investments and creating emergency funds
Table breaking down the 50/30/20 rule

The pros of using this rule are that it is useful for long-term savings and retirement, it can be simplified by setting up automatic payments and it isn’t too restrictive, so it is sustainable.

Chart from nerdwallet showing a pie chart with the 50/30/20 rule

Mydus integrates this rule into its core niche of Cost of Living, it automatically breaks a users’ spending into Committed spending, Everyday spending, and Savings, which can be aligned with the 50/30/20 rule (Needs, Wants, and Savings) respectively. If you’re looking to integrate this approach into your life, Mydus is a great place to start, and it just takes a few minutes to sign up.

Budgeting apps can save you so much time and hassle and are really great for helping you reach your financial goals, hopefully, this article will help you get started on using one!

mobile apps
Written By

Mani Dhanoa

CEO/Founder at Mydus

Mydus is a dynamic financial management app designed to simplify your personal finances.

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Mydus is registered and incorporated in England and Wales.

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