If you’re like most people, your life is so busy that you have little time to dedicate to your finances. Ensuring that you’re on the right track with your retirement goals can be tough, but it’s important.
A 2023 Fidelity report found that the typical American household has saved just 78% of the amount necessary for retirement. Meanwhile, 52% of households may have saved so little that they won’t be able to manage their essential expenses when they stop working.
To hit your target, you’ll need to monitor your spending and manage your credit as you make proper saving and investment decisions. It can be challenging, but technology can help.
These nine apps can reduce the time you spend budgeting, net worth tracking, credit monitoring, managing debt and investing – and help ensure you’re doing everything it takes to retire with the funds you need.
Budgeting and Net Worth Tracking: Mint, YNAB and Simplifi
A key step toward maximizing the cash you have flowing in is knowing where it’s been going and where you can make feasible adjustments. If you feel you don’t have enough money going into your retirement account, it’s time to take a look at your budget.
You probably have a general idea of where all your money goes but many people spend a lot more than they think.
To gain clarity, check out apps like Mint and YNAB. These tools will help you identify the amounts you’re spending in various categories. With this data, you’ll be able to figure out where you may be able to scale back and save more. Both apps also allow you to track your growing net worth as you begin to reallocate those funds to savings, which can be a real motivator.
Want to reduce the amount of time you dedicate to budgeting even more? Simplifi by Quicken may be for you. Once you set it up, this app promises that it will take no more than five minutes a week to get your cash flow in order. It automatically breaks down your spending categories so you’ll see at a glance where your money is going. You can set up watchlists that reflect your spending targets, then track how you’re doing and get notifications when you’re near your spending limit.
Credit Monitoring: myFICO and Aura
As long as you borrow and repay responsibly, over time your credit scores will rise. When your scores are high, you will have access to credit products with low interest rates, which will keep costs down. You can also become eligible for credit cards that have the most lucrative rewards programs. When you pay the bill in full, you’ll profit as you charge.
The most popular credit score is FICO, and the myFICO app is a tool you can use to check your numbers any time. If you see them going south, you can take swift action to rectify the situation.
Unfortunately, being a victim of identity theft and fraud can affect your credit. The Aura app will alert you when someone else tries to open a credit product in your name, and you can use it to set spending alerts for yourself.
Debt Payments: Loan Calculator Pro and Debt Payoff Planner
Even when you have the best credit products, revolving debt can impede your ability to save the most for your retirement. If you’re carrying balances, use an app to help you develop a plan to get you in the black in record time. The sooner you get out of debt, the sooner you’ll have more money to stash away for your future.
If you’re wondering what impact an additional annual payment will make on your mortgage or what putting an extra $100 per month toward your car loan or credit card payment will do for your balances, check out the Loan Calculator Pro app.
It’s easy to use and chances are you’ll take action when you discover how powerful even one extra payment can be.
Another option is Debt Payoff Planner, which enables you to add a variety of debts, then decide on a payoff plan. For example, you may choose a debt snowball method (paying smaller debts off first) or debt avalanche method (paying the most expensive debts off first) or design a plan of your own. Whichever you choose, the app will help you stick to a schedule.
Investing: Acorns and Empower
Saving for retirement means investing for the future. You want your money to make money over time, so the sooner you start, the better.
If you’re just beginning your journey toward building a retirement fund but don’t have much to save, consider using the Acorns app. You can invest your spare change in low-cost exchange-traded funds by rounding up purchases on your debit or credit charges to the next dollar and investing the difference in an age-based portfolio that’s automatically selected for your retirement date.
If you want a more sophisticated plan, Empower might be the app for you. It combines budgeting functions with investment capabilities, so it tracks your spending and net worth.
You simply link all of your bank, credit, retirement and investment accounts in the app. It provides you with free investing tools and guidance, including an investment checkup so you can see how your retirement savings are coming along.
Take Advantage of Technology
When it comes to saving for retirement, complications can hold you back. There’s no need to wonder about where your money is going, what your credit scores are and if you’re on the right path toward financial wellness. Just set up the right apps and they will do much of the work for you – so you can get back to doing what you love.