Being a digital nomad comes with its own set of challenges, and managing finances is one of them. As someone who works remotely, you’re constantly on the move, and keeping track of your expenses, income, and investments can be a daunting task. Fortunately, with the rise of financial planning apps, digital nomads now have access to a range of tools that can make their lives easier. In this article, we will take a closer look at some of the top financial planning apps for digital nomads, and how they can help you stay on top of your finances while living your dream remote lifestyle.
As a digital nomad, you need to be in control of your finances to avoid financial stress, stay organized, and make smart investment decisions. With the right financial planning apps, you can easily manage your expenses, create budgets, monitor your investments, and even automate bill payments. The best part? Many of these apps are available for free or at an affordable price, so you don’t have to break the bank to stay on top of your finances.
Mint is a popular personal finance app that allows you to track your expenses, manage your budget, and see your net worth. It automatically syncs with your bank accounts and credit cards, so you can easily see where your money is going.
Personal Capital is another personal finance app that offers expense tracking, budgeting tools, and investment management. It also offers retirement planning and net worth tracking features.
Free / $3.99 per month
PocketGuard is a budgeting app that helps you track your expenses and find ways to save money. The free version offers basic features, while the paid version includes more advanced features such as customized categories and automatic categorization.
$11.99 per month / $84 per year
YNAB (You Need A Budget) is a popular budgeting app that helps you manage your money and save for the future. It uses a zero-based budgeting system, which means you allocate every dollar you earn to a specific category.
$4.99 per user per month
Expensify is an expense management app that allows you to easily track your expenses, receipts, and mileage. It also offers features for tracking time and invoicing clients.
$5 per user per month
Zoho Expense is an expense-tracking app that offers features for tracking expenses, managing receipts, and submitting expense reports. It integrates with other Zoho apps such as Zoho Books and Zoho CRM.
$25 per month
QuickBooks is a popular accounting software that offers features for expense tracking, invoicing and payment processing. It also offers payroll and tax management features for small businesses.
$15 per month
FreshBooks is a cloud-based accounting software that offers features for invoicing, expense tracking, time tracking, and project management. It also integrates with other business apps such as Shopify and G Suite.
Wave is a free accounting software that offers features for invoicing, expense tracking, and payment processing. It also offers payroll and tax management features for small businesses.
Free / $5.99 per month
Honeydue is a budgeting app that is designed for couples. It allows you to track your joint expenses and see your individual and shared account balances. The paid version offers additional features such as bill reminders and custom categories.
Top 5 Financial Planning Apps for Digital Nomads
Mint is a popular budgeting app that helps users track their expenses, set financial goals, and monitor their investments. The app allows users to link their bank accounts, credit cards, and investment accounts to get a comprehensive view of their finances in one place. With Mint, digital nomads can easily track their spending and create a budget that works for their unique lifestyle.
Here are some of the pros and cons of using Mint:
- Easy to Use: Mint is user-friendly and easy to navigate, making it a great option for those who are new to financial planning.
- Comprehensive Financial View: Mint allows users to link all their financial accounts, including bank accounts, credit cards, loans, and investments, in one place. This provides users with a comprehensive view of their financial situation, making it easier to track their spending and set financial goals.
- Budgeting Tools: Mint offers a range of budgeting tools that allow users to create customized budgets based on their income and expenses. The app also sends alerts when a user exceeds their budget, helping them stay on track.
- Free: Mint is free to use, which makes it accessible to anyone who wants to take control of their finances without paying a financial advisor.
- Investment Tracking: Mint offers investment tracking tools that allow users to monitor their investments and see how their portfolio is performing.
- Security Concerns: Mint requires users to link their financial accounts, which raises some security concerns. While Mint uses bank-level encryption to protect users’ information, there is still a risk of a security breach.
- Limited Customization: While Mint offers a range of budgeting tools, users have limited customization options. This can be frustrating for those who want to create a more detailed budget based on their unique spending habits.
- Advertisements: Mint is free to use, but it generates revenue through advertisements. This means that users will see ads while using the app, which can be annoying for some.
- Inaccurate Categorization: Mint automatically categorizes transactions, but it is not always accurate. This can be frustrating for users who have to manually correct the categorization.
- No Customer Support: Mint does not offer customer support over the phone, which can be frustrating for users who need help with a specific issue. Instead, users are directed to an online help center, which may not be sufficient for complex issues.
Mint is a great option for those who want to take control of their finances without paying for a financial advisor. While there are some security concerns and limited customization options, Mint offers a comprehensive view of users’ finances and provides useful budgeting tools.
Personal Capital is a financial planning app that offers a range of tools for managing investments, tracking expenses, and planning for retirement. The app provides a holistic view of a user’s financial situation and offers personalized recommendations to help users reach their financial goals. With Personal Capital, digital nomads can easily monitor their investments and stay on track to achieve financial freedom.
Here are some of the pros and cons of using Personal Capital:
- Comprehensive Financial View: Personal Capital allows users to link all their financial accounts, including bank accounts, credit cards, loans, and investments, in one place. This provides users with a comprehensive view of their financial situation, making it easier to track their spending and set financial goals.
- Investment Management: Personal Capital offers investment management services for users with at least $100,000 in assets under management. This service includes access to financial advisors and customized investment portfolios based on users’ risk tolerance and investment goals.
- Retirement Planning: Personal Capital offers retirement planning tools that allow users to project their retirement income and expenses based on their current savings and expected future income.
- Free Financial Dashboard: Personal Capital offers a free financial dashboard that provides users with a comprehensive view of their financial situation, including net worth, cash flow, and investment performance.
- Customer Support: Personal Capital offers customer support over the phone and via email, which can be helpful for users who need assistance with a specific issue.
- Limited Budgeting Tools: While Personal Capital offers comprehensive investment management and retirement planning tools, it has limited budgeting tools compared to other financial planning apps. This can be frustrating for users who want to create a detailed budget based on their unique spending habits.
- High Investment Management Fees: Personal Capital charges higher investment management fees compared to other robo-advisors. Users with less than $100,000 in assets under management will pay 0.89% in fees, while users with more than $1 million will pay 0.49% in fees.
- Security Concerns: Personal Capital requires users to link their financial accounts, which raises some security concerns. While Personal Capital uses bank-level encryption to protect users’ information, there is still a risk of a security breach.
- Limited Customization: Personal Capital offers limited customization options for investment portfolios. While users can choose their risk tolerance and investment goals, they cannot make specific investment choices.
- No Bill Payment Functionality: Personal Capital does not offer bill payment functionality, which can be inconvenient for users who want to manage all their finances in one place.
Personal Capital is a great option for users who have significant investments and want access to investment management and retirement planning tools. While the app has limited budgeting tools and high investment management fees, it offers a comprehensive view of users’ finances and provides helpful customer support.
You Need a Budget (YNAB) is a budgeting app that helps users get in control of their finances by creating a budget based on their income and expenses. The app provides real-time updates on spending and allows users to set financial goals and track their progress. With YNAB, digital nomads can stay on top of their finances and avoid overspending while on the move.
Some of the pros and cons of using YNAB are:
- Goal-Oriented Budgeting: YNAB helps users create a budget based on their income and expenses and helps users set financial goals. This helps users prioritize their spending and save money for specific financial goals.
- Mobile App: YNAB has a mobile app that allows users to track their spending and update their budget on the go. This can be helpful for users who want to keep their budgets up-to-date in real time.
- Automatic Account Syncing: YNAB automatically syncs with users’ financial accounts, which saves users time by automatically importing transactions into the app. This makes it easier to track expenses and budget for upcoming expenses.
- Educational Resources: YNAB offers a range of educational resources, including videos, webinars, and a blog, to help users learn about personal finance and budgeting best practices.
- Active Community: YNAB has an active community of users who share their experiences and offer support to each other. This can be helpful for users who are new to budgeting and want to learn from others.
- Learning Curve: YNAB has a learning curve, as it requires users to adopt a specific budgeting philosophy and follow a set of budgeting rules. This can be overwhelming for users who are new to budgeting.
- Monthly Subscription Fee: YNAB requires users to pay a monthly subscription fee, which can be a turn-off for users who want a free budgeting app.
- Limited Investment Tracking: While YNAB is great for budgeting and tracking expenses, it has limited functionality for tracking investments. This can be frustrating for users who want a comprehensive view of their finances.
- Limited Account Reconciliation: YNAB’s account reconciliation feature can be time-consuming and limited. Users must manually reconcile their accounts, which can be challenging if they have multiple accounts or transactions.
- Limited Reports: YNAB’s reporting functionality is limited compared to other budgeting apps. Users cannot generate detailed reports or export their budget data easily.
YNAB is a great option for users who want to prioritize their spending and save money for specific financial goals. While the app has a learning curve and a monthly subscription fee, it provides users with a framework for budgeting and offers helpful educational resources and an active community of users.
Robinhood is a commission-free stock trading app that allows users to buy and sell stocks, ETFs, and cryptocurrencies. The app is ideal for digital nomads who want to invest in the stock market but don’t have the time or expertise to manage their own portfolios. With Robinhood, users can easily trade stocks from their mobile devices while on the go.
Following are some of the pros and cons of using Robinhood:
- Commission-Free Trades: Robinhood offers commission-free trades, which can save investor’s money compared to traditional brokers that charge commissions on each trade.
- User-Friendly Interface: Robinhood has a user-friendly interface that is easy to navigate, making it accessible to novice investors.
- Fractional Shares: Robinhood allows users to purchase fractional shares, which makes it easier for users to invest in expensive stocks without needing to buy full shares.
- Wide Range of Investments: Robinhood offers a wide range of investments, including stocks, ETFs, and cryptocurrencies. This provides users with diverse investment opportunities.
- Educational Resources: Robinhood offers educational resources, including a blog and a podcast, to help users learn about investing and make informed investment decisions.
- Limited Research Tools: Robinhood has limited research tools compared to traditional brokers, which can make it difficult for investors to perform in-depth analysis of potential investments.
- Limited Investment Options: While Robinhood offers a wide range of investments, it does not offer some popular investment options, such as mutual funds and bonds.
- Limited Customer Support: Robinhood has limited customer support, which can be frustrating for users who need assistance with their account or have questions about the app.
- Security Concerns: Robinhood has experienced security breaches in the past, which has raised concerns about the safety of users’ personal and financial information.
- Technical Issues: Robinhood has experienced technical issues in the past, such as outages and glitches, which can prevent users from accessing their accounts and making trades.
Robinhood is a good option for users who want to invest in stocks, ETFs, and cryptocurrencies without paying commissions on trades. However, users should be aware of the app’s limitations, such as its limited research tools and customer support, as well as potential security and technical issues.
Acorns is a micro-investing app that rounds up users’ purchases to the nearest dollar and invests the spare change in a diversified portfolio of ETFs. The app is ideal for digital nomads who want to start investing but don’t have a lot of money to spare. With Acorns, users can invest their spare change automatically and watch their portfolio grow over time.
The pros and cons of using Acorns are:
- Automatic Savings: Acorns makes it easy for users to save money without even thinking about it by automatically rounding up their purchases to the nearest dollar and investing the difference.
- Diverse Investment Options: Acorns offers a range of investment options, including ETFs, which allows users to diversify their portfolio and minimize risk.
- User-Friendly Interface: Acorns has a user-friendly interface that is easy to navigate, making it accessible to novice investors.
- Educational Resources: Acorns offers educational resources, including a blog and a newsletter, to help users learn about investing and make informed investment decisions.
- Low Fees: Acorns charges low fees compared to traditional investment options, which can save users money in the long run.
- Limited Investment Options: While Acorns offers a range of investment options, it does not offer some popular investment options, such as individual stocks and bonds.
- Small Account Balances: Because Acorns invests spare change, account balances can be small, which may not be suitable for investors looking to make larger investments.
- Monthly Fee: Acorns charges a monthly fee for its investment services, which may not be worth it for users with small account balances.
- Limited Control: Acorns invests users’ money automatically, which means users have limited control over their investments.
- Potential Risk: While diversification can help minimize risk, all investments come with some level of risk, and users should be aware that their investments could potentially lose value.
Acorns is a good option for users who want to save and invest their spare change without needing to think about it. However, users should be aware of the app’s limitations, such as its limited investment options and potential fees, and carefully consider whether it is the best option for their financial goals and investment preferences.
In addition to these popular financial planning apps, there are a few other tools that digital nomads can use to manage their finances efficiently. Firstly, good online accounting software like QuickBooks, FreshBooks, or Xero can be useful to track income, expenses, and invoices. These accounting tools can also help with tax preparation and filing.
Secondly, it is important for digital nomads to have a reliable payment processor that allows them to accept payments from clients or customers. Some popular payment processors include PayPal, Stripe, and Square. These processors offer secure transactions and easy payment management, making it easier for digital nomads to receive payments from customers from around the world.
Lastly, digital nomads can also benefit from using a virtual mailbox service like Anytime Mailbox or Earth Class Mail. These services allow digital nomads to receive physical mail at a physical address, which can be useful for receiving important documents like bank statements, tax forms, and other financial documents. By having a virtual mailbox service, digital nomads can access their mail from anywhere in the world without the need for a physical mailing address.
Overall, managing finances as a digital nomad can be challenging, but with the right combination of financial planning apps and tools, it can be a breeze. So, if you’re a digital nomad looking to streamline your financial management, consider using these apps and tools to make your life easier.