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How to Manage Your Budget Like a Tax Accountant

How to Manage Your Budget Like a Tax Accountant

Tax accountants don’t get into trouble at the end of the year because they prepare continuously for the tax season, and you can be just as organized as the pros when it comes to your budget and taxes. Here are a few tips and tricks from the experts that will keep your accounts in order.

Get Organized (Now)

Stop procrastinating. The main tip from professionals is to start organizing your budget and receipts right now. For most people tomorrow is a myth that never comes, and when we say we’ll organize our budget tomorrow it never happens. So, here’s what you need to do:

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  1. Look at the clock and consider your schedule for the rest of the day.
  2. Determine one 30-minute block of time you can spend organizing your budget.
  3. Stick to this scheduled slot. Work quickly, organizing for thirty minutes, and then stop.
  4. Repeat this process tomorrow, and every day until you are organized.

Choose a Place for Your Documents

When you have one designated place for all of your financial documents, it’s easier to keep track of them. When bills arrive, place them in your determined area immediately, and when receipts make their way home in bags, file them the same way. By doing this, you’ll ensure that everything you need of a financial nature is readily available when you’re ready to start organizing each day.

Learn to Organize Like the Pros

Once you’ve started sorting receipts and bills each day for thirty minutes, you might wonder if there’s an easier way. Here’s what the experts do to keep their budgets in order:

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  • Buy a filofax that has a tab for each month, and sort your receipts by month.
  • Get a calendar and note each bill’s due date. Check this calendar each day to see which bills are upcoming.
  • Use handy software to fill in each of your monthly bills, credits, and reoccurring payments. Find out what your monthly savings could be if you cut out some unnecessary expenditures (such as eating out, or cable).
  • Make a plan to save a percentage of your income (experts recommend 10%).

Experts and financial gurus like Mark Weinberger don’t get successful or rich overnight—they plan and prepare, just like you should be doing.

Make Apps Do the Work for You

If  keeping track of your finances manually isn’t an option, consider one of the following apps:

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  • Mint – You can consolidate all of your credit cards, bank accounts, savings accounts and other investments within this one app. Mint will also set a budget for you, let you know of upcoming bills, and tell you when you’ve gone over your budget.
  • BillTracker – Keep track of your upcoming and outstanding bills with this simple-but-handy app.
  • Shoeboxed – This genius app lets you take a photo of your receipts, and then processes and organizes the data so you can ditch the hard copies.
  • Most major banks have apps you can connect with your online banking; check with your banks and credit card companies for any apps they offer.

Get Serious About Your Future

Tax accountants have plans for the rest of the day’s budget, as well as for their retirement, and you need to be just as serious about your own finances. Once you have your daily finances organized and you’ve begun to organize like an expert by using tools and software, all that remains is savings. Find out what kind of retirement plan you are comfortable with, and plan for it. Whether it’s a company savings plan or a personal goal to save 10% of every paycheck and invest in mutual funds, you need to start today.

Your finances don’t have to be confusing or messy; all they require is a little attention and organization. With just 30 minutes a day of focused organizing and sorting and a few free online tools, you can easily become a tax accountant’s dream client: informed, prepared, and ready for the unexpected.

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Published on July 4, 2018

Top 10 Recommendations on Money Management Apps

Top 10 Recommendations on Money Management Apps

Don’t want to overspend your budget, swipe your credit card too many times, and feel like a financial mess? Instead of beating yourself up for the bad financial decisions you’ve ever made, create a new plan!

The solution is simple, save more and spend less. But, we all know it’s easier said than done.

One problem is finding quality apps that save you time and money, and aren’t just hype.

Luckily, there’re many great money management apps available at your fingertips. Here are 10 reliable money management apps that can help you save money, and crush debt.

1. Personal Capital

    When was the last time you’ve tracked your net worth? Probably months ago or maybe never. Personal Capital allows you to easily track your net worth and plan for retirement.

    Here are some of its main features:

    • Sync many investment accounts, and expenses (mortgage, credit cards, etc.) in one place
    • Discover hidden fees and how much they’re affecting your retirement plan
    • Wealth management for investors requiring a long-term strategy

    With Personal you’re free to track your expenses and net worth.

    Available for: iOS and Android

    2. Mint

      If your smartphone could only install a few apps, Mint would be one of them. Why? Because Mint tracks all your balances and bills in one place.

      Here are some of its main features:

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      • Effortlessly track all your bills and balances in one dashboard
      • Categorized expenses to understand where you spend your money
      • Uncover hidden fees, and determine your investment style with sophisticated retirement tools.

      Feel at ease with managing your money by a reputable company that isn’t going anywhere.

      Available for: iOS and Android

      3. YNAB

        Everyone needs a budget, there’s no way around it. YNAB (You Need A Budget) is an easy to use app that will change the way you think about money. Their motto is to “give every dollar a job”, and you’ll quickly discover why.

        Here are some of its main features:

        • Easily sync all bank accounts in one place
        • Visually see your debt paying progress with eye-catching charts and notifications
        • Customized categories setting saving goals

        The best part about YNAB is the community that comes along with it. You can hop on the YNAB forum to receive support, listen to the YNAB Podcast or stay tuned for their weekly videos.

        Available for: iOS and Android

        4. Wealthfront

          Albert Einstein once said “compound interest is the eight wonder in the world”, and for a very good reason. The problem is, most people are scared or unwilling to learn the basics of investing. This is why Wealthfront is the perfect solution for the hands-off investors.

          Here are some of its main features:

          • Variety of investment account options including IRA, Roth IRA, and more
          • Your portfolio composed of 7 different asset classes
          • Automatically rebalanced portfolio
          • Daily tax loss harvesting

          Wealthfront is perfect for people requiring investment guidance, or prefer a hands-off solution.

          Available for: iOS and Android

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          5. Clarity Money

            If you’re staying on top of your budget but want to take your finances to the next level, Clarity Money can help you. Clarity Money helps you stay under budget and build a personalized savings plan.

            Here are some of its main features:

            • Easily cancel subscriptions with one click
            • Synchronize bank accounts fast
            • Transfer money effortlessly between different accounts

            Clarity Money isn’t an app that does it all. But, it does make transferring money and canceling subscriptions fast and efficient.

            Available for: iOS and Android

            6. Acorns

              What if there was a way to quickly gain confidence in investing your money, without too much risk? There is, and Acorns is your solution. With Acorns’s technology, you’re able to make investments as small as $5.

              Here are some of its main features:

              • Automatic contribution option
              • Customized portfolio tailored to your needs
              • Low management fees ranging from $1-$2 per month

              Stop wasting dollars on expensive coffee. Instead, invest them towards a brighter financial future.

              Available for: iOS and Android

              7. Albert

                Do you budget by only subtracting your expenses from your income? If so, how would you discover any overpayments or extra money you could save? This is where Albert shines, and it does it all free.

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                Here are some of its main features:

                • Receive notifications for overpayments, hidden fees, and low balances
                • An Automatic budget that’s built around your spending and income
                • Easily track debt and set new financial goals

                While Albert does offer a paid option, most of its core features are FREE. So, what better option to save?

                Available for: iOS

                8. Prism

                  Have you recently forgot to pay a bill because life got in the way? Prism automatically tracks your bills and syncs your bank accounts in one place.

                  Here are some of its main features:

                  • View all your account balances in one glance
                  • Bill due dates are automatically pulled and tracked
                  • Receive early reminders for upcoming bills

                  If your budget is on “fleek” but can’t seem to stay on top of your bills, Prism is your go-to app.

                  Available for: iOS, Android, Windows, Amazon

                  9. Mvelopes

                    Remember hearing about people using envelopes to budget their money? Well, Mvelopes is the new envelope system for this generation. Easily create monthly budgets and track your saving goals.

                    Here are some of its main features:

                    • Connect unlimited bank accounts
                    • Real-time budgeting with auto transaction syncing
                    • Low monthly $4 fee or $40 annual

                    Mvelopes can help you crush debt, save more, and help you stop overspending. With its low monthly fee, it’s worth a try.

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                    Available for: iOS and Android

                    10. Wallaby

                      Most people don’t have time to track their credit card’s changing rewards and interest rates. Because of this, you need help reaping the most of your credit card’s rewards. Wallaby is the app that will help you do just that.

                      Here are some of its main features:

                      • Automatic recommendations for the best credit card to use for each transaction
                      • A friendly user interface, displaying credit cards with their corresponding images
                      • Free to use

                      If you’re using the same credit card to make your purchases, you may be leaving money on the table. Give Wallaby a try if you’re ready to maximize your credit card’s rewards.

                      Available for: iOS and Android

                      Take control of your finances and experience financial freedom

                      Picture yourself staying on budget and saving more money than you’d ever imagined.

                      It took hard work and dedication but you’d finally learned how to manage your money. You have to start taking control of your spending and saving habits.

                      You now have a list of reliable apps that can help you build better money habits, what are you waiting for?

                      Featured photo credit: Pexels via pexels.com

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