Goodbudget is a personal and household budgeting system available on the web, Android, and iPhone. It relies on the envelope budgeting technique, where you create envelopes for different budgeting categories. This allocates money to each envelope to spend based on categories, not your account balance. Goodbudget allows you to sync and share household budgets, making it ideal for co-budgeting with others. The app is designed to help track expenses, save, and give toward what’s important in life. It is also suitable for manual budgeting and offers resources to help with debt management and major financial milestones. Goodbudget was founded in 2009 as envelope budgeting software and has since expanded to offer more money management features to phone- and computer-based users.
What are the features of Goodbudget?
Goodbudget, a personal and household budgeting system, provides various features to assist users in handling their finances effectively. Some of its key features include:
- Envelope Budgeting: Goodbudget employs the envelope budgeting approach, where users allocate money to different expenditure categories in advance by creating virtual envelopes.
- Family Budget Planning: The app is designed to serve as a family budget planner, allowing multiple users to track and manage expenses collaboratively.
- Debt Payoff Assistance: Goodbudget helps users with debt payoff by enabling them to create a debt account, track their payoff progress, and receive assistance in saving and eliminating debt burdens.
- Resource Library: It provides a library of resources, including podcasts, courses, and articles, to help users handle major financial events, such as getting married, buying a house, or saving for college.
- Sync and Share: Goodbudget allows users to sync and share household budgets, making it ideal for co-budgeting with others.
- Mobile and Web Support: The app is available on the web, Android, and iPhone, enabling users to access and manage their budgets across different devices.
In addition to these features, Goodbudget offers regular updates to improve user experience, such as adding new reports and adding emojis to budgets.
How does the envelope system work in Goodbudget?
Goodbudget utilizes the envelope system to help users manage their finances. Here’s how it works:
- Create Envelopes: Users create virtual envelopes for different spending categories, such as groceries, entertainment, or savings goals.
- Allocate Funds: Users manually input their income and decide how much money to allocate to each envelope after creating the envelopes.
- Track Transactions: Whenever users spend or receive money, they log the transaction in Goodbudget and assign it to the appropriate envelope.
- Visualize Balances: The app displays the balance of each envelope using a colorful bar on the home screen, with green indicating money left in the envelope and red indicating overspending.
- Manual Tracking: Unlike other budgeting apps, Goodbudget does not automatically sync with bank accounts to track transactions. Users must manually log and compare their transactions to their bank records.
How much does the budget cost?
Goodbudget offers both free and paid plans. The paid plan, known as Goodbudget Plus, is available at a cost of $5.00 per month or $8 per month, depending on the source, with an annual subscription option of $70. The free plan provides limited features, while the paid plan offers additional capabilities, such as unlimited regular and annual/goal envelopes.
How does Goodbudget pricing compare to other budgeting apps?
Goodbudget’s pricing compares favorably to other budgeting apps. The paid version of Goodbudget, known as Goodbudget Plus, is available for $8 per month or $70 annually, offering additional features such as unlimited envelopes and the ability to use the service on five devices. In contrast, some other popular budgeting apps, such as YNAB, cost $14.99 per month or $99 per year, with no free version available. Goodbudget’s free version provides essential budgeting capabilities, making it a cost-effective option for those looking to manage their finances.
What are the pros and cons of Goodbudget?
Pros of Goodbudget:
- Affordable: Goodbudget offers a free version with the option to upgrade to a paid plan, making it accessible to a wide range of users.
- Envelop System: The app’s use of the envelope system allows for a visual and proactive approach to budgeting, helping users allocate funds to specific categories and track their balances.
- Supports Multiple Devices and Users: Goodbudget seamlessly syncs across platforms and supports multiple users, making it suitable for co-budgeting with family members or partners.
- Reports and Resources: The app provides personalized reports and a library of resources to help users understand their spending and make progress toward their financial goals.
Cons of Goodbudget:
- Limited Free Version: The free version of Goodbudget has limited capabilities, which may not be sufficient for users with expansive budgets.
- Manual Transaction Entry: Goodbudget does not automatically sync with bank accounts, requiring users to manually enter their transactions, which can be time-consuming for some users.
- No Investing Tools: The app lacks investing tools or resources, which may be a drawback for users looking for comprehensive financial management features.
In conclusion, Goodbudget is a personal and household budgeting system that offers an affordable and visual approach to financial management through its envelope system. The app’s support for multiple devices and users, along with its resource library, makes it suitable for collaborative budgeting and accessing financial education materials. While the free version has limitations, the paid plan, Goodbudget Plus, provides additional features at a competitive price point. However, users should be aware of the manual transaction entry requirement and the absence of investing tools. Overall, Goodbudget is a practical choice for individuals and families seeking a straightforward and cost-effective budgeting solution.