How the Smartphone Revolutionized Personal Finance
The smartphone revolution is about much more than putting mobile devices into the pockets of people all over the world. It’s largely about giving people access to apps that they can use to simplify their lives.
Through mobile apps, people have taken charge of their personal finances like never before. Consider these three ways that your smartphone can help you take control of your spending:
1. Smartphone Apps Making Banking Easy
According to research from the Pew Research Center, about 57 percent of smartphone owners use their devices for online banking. Apps that connect people to their bank accounts give them more control over their money than traditional bank accounts and paper checks.
Some of the top features to look for in banking apps include options that let you:
- Pay for purchases with your phone
- Link all of your accounts to one location
- Access your account at any time
- Receive notifications to avoid overdraft fees
- Deposit checks remotely
Plus, you can track your spending. If you work freelance, then you can use the app to organize your business expenses. That feature comes in handy when you’re figuring out how much you can deduct on your tax forms.
2. Smartphone Apps Encourage Smart Spending
Managing your personal finances isn’t just about accessing your money. It’s also about spending money in smart ways.
Smartphones have become essential for commuters who want to spend as little money as possible, and the Uber app is a perfect example. When you compare the price of using Uber with the price of using a traditional taxi, it becomes obvious that Uber helps you spend less, especially since you don’t tip Uber drivers. In Los Angeles, a five-mile taxi ride costs $19.62 after tip. Using Uber lowers the price to just $9.40.
The effect on “millennials,” or those reaching adulthood around the year 2000, is huge. The myth is that millennials waste money by buying products and services via their smartphones. The truth is that using a smartphone is a responsible way to manage money, spend mindfully and comparison shop to always get the best prices.
3. Improve Productivity to Make More Money
Some smartphone apps can help you make more money, especially if you work freelance or have a job that pays bonuses for meeting goals. Adding a productivity app to your phone can help ensure that you make enough money to finance your lifestyle while you save for the future.
Some useful apps include:
The new financial landscape is all about putting you in control of your money. When you make your smartphone a central part of your financial plan, it will reward you.