There are different tools to track and manage your budget and I’ve just about tried them all.  When deciding on which tool to use to manage your budget, it is important to consider the following factors:

• Ease of use
• Adaptability
• Convenience

To be consistent with budgeting, the tool needs to be easy to use, adapt as your budget adapts and convenient so that you don’t have an excuse not to use it. 

Pen & Paper

When I first started budgeting I started with a notebook and pen.  I wrote down my income, all my expenses and my goals.  It was portable, and I could add any additional notes that I wanted.  I had to do the math the old-fashioned way but hey it worked, and I was able to easily track my progress along the way.  One of the drawbacks of my notebook and pen was that it wasn’t secure.  Anyone could pick it up and see all my information, too I had to do math the old-fashioned way 😊 Starting out though, it was a great tool to get me into a routine and to figure out exactly what I needed in a budgeting tool.

Spreadsheet

After a while, I decided to move my budget to a spreadsheet.  I liked the idea of the automatic calculation 😊 and the ability to quickly and easily update my categories and expense line items within my budget.  I was able to set it up just how I wanted and was also able to track my expenses alongside my budget.  The spreadsheet also allowed me to secure my information.

Apps

After a while with my spreadsheet I decided to try one of the many budgeting apps available.  What enticed me about the app is that I would be able to track my expenses in “real-time” (well almost).  I could link my accounts to the app and it would automatically put my expenses in the right category and let me know if I was managing within my budget or not.  All I had to do was set up my budget categories and the rest would just happen.  It was secure, and I could even download the information to a spreadsheet if I wanted to.  At first it was great, but after a while I noticed that my expenses weren’t making there way to the right categories, so I would have to go in and update it.  What I realized is for the more advanced features of the apps I tried there was a fee.  

While I did enjoy using the app for the most part, I finally settled on the tool that works best for me and that is my personal finance workbook(spreadsheet).  It has everything I need to track my financial life all in one place.  It gives me the convenience and flexibility that I need.  If you are interested, you can grab a copy of my customizable Personal Finance Workbook.

In the comments, let me know your favorite budgeting tool.