Understanding how much you earn and spend is key to getting control of your finances. Not only does creating a budget give you a greater sense of control and awareness over your money, but it can also help you reach financial milestones, such as buying your first home.
To help you get started, CNBC Select reviewed and compared a variety of free budgeting tools and we narrowed down our best picks for just about anyone: beginners, investors and small business owners. Our selections all come at zero cost to use and have strong user reviews. (See our methodology for more information on how we choose the best free budgeting tools.)
Best free budgeting tools
- Best free budgeting app for beginners: Goodbudget
- Best free budgeting app for investors:Empower
- Best free desktop software for small business owners: GnuCash
- Best free budging app if you use VantageScore: SoFi Relay
- Best free budgeting app for managing subscriptions: Rocket Money
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Best free budgeting app for beginners
Goodbudget
Cost
Free for 20 total envelopes; $10/month (or $80/year) for unlimited envelopes
Standout features
Allows couples to use the envelope system digitally for budgeting, and allows couples to track their debt
Categorizes your expenses
Yes, but users must manually input transactions since the app does not sync to your bank account
Links to accounts
No, users must manually input purchases and transactions
Availability
Offered in both the App Store (for iOS) and on Google Play (for Android) and as a version for laptops
Security features
Information is secured using bank-grade 256-bit SSL
Terms apply.
Pros
- Free version of the app
- Helps couples manage their money together, track spending and track debt
- Ability to share budget with your partner
- Digital envelopes help couples save for big goals that matter to them
- Money management courses and resources available
Cons
- Can't connect bank accounts so users must manually enter transactions
Who's this for? Goodbudget can be a great fit if you're looking for a digital version of the envelope budgeting method.
Standout benefits: You can divvy up your cash into different spending categories with each having its own envelope.
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Best free budgeting app for investors
Empower
On Empower's secure site
Cost
App is free, but users have option to add investment management services for 0.89% of their money (for accounts under $1 million)
Standout features
A budgeting app and investment tool that tracks both your spending and your wealth
Categorizes your expenses
Yes, but users can modify
Links to accounts
Yes, bank and credit cards, as well as IRAs, 401(k)s, mortgages and loans
Availability
Offered in both the App Store (for iOS) and on Google Play (for Android)
Security features
Data encryption, fraud protection and strong user authentication
Terms apply.
Pros
- Free to use
- Includes money-tracking dashboard, plus a net-worth tracker as well as a breakdown of yourinvestmentportfolio
- Offers free investing tools, such as a retirement planner and an investment checkup tool
- Syncs to your bank accounts and credit cards as well as other financial accounts
- Offers The Currency blog for financial planning tips
- Security features include data encryption, fraud protection and strong user authentication
Cons
- Budgeting features aren't as comprehensive as other apps
- Investment management services come with cost
Who's this for? Empower is ideal if you're looking for an investment tool that tracks both your spending and wealth.
Standout benefits: You can link various financial accounts including IRAs, 401(k)s, mortgages and loans. The Empower Budget Planner automatically categorizes your transactions.
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Best free desktop software for small business owners
GnuCash
Information about GnuCash has been collected independently by Select and has not been reviewed or provided by GnuCash prior to publication.
Cost
Free
Standout features
Desktop software that uses double-entry accounting method to tracks users' bank accounts, income, expenses and investments. It also offers basic accounting functionality for small businesses to manage invoicing, bill payment and payroll
Categorizes your expenses
No
Links to accounts
Allows users to import their bank account information
Availability
Compatible with Windows, Mac OSX, GNU/Linux, BSD and Solaris, as well as an app for Android users
Security features
GnuCash is not an online, cloud-based program so no one has physical access to your data; the software runs on your computer and your data lives wherever you store it, such as on your desktop, a hard drive or Dropbox
See our methodology, terms apply.
Pros
- Free to use
- Compatible with most computers
- Good accounting option for startups and small businesses with limited budgets
- Offers helpful data visualization of your budget with graphs and reports
- Available in multiple languages and tracks multiple currencies
- Website offers an extensive FAQ section for user support
- Users can create recurring transactions and set reminders when things are due
- Finder tool allows users to easily search for specific transactions
- Security features include not being an online, cloud-based program
Cons
- Double-entry accounting method used may be more helpful for small business owners versus individuals trying to manage a budget
- Desktop software interface looks outdated
Who's this for? GnuCash may appeal more to small business owners since it uses a double-entry accounting method.
Standout benefits: GnuCash offers features geared towards small businesses like invoicing, accounts payable and accounts receivable and payroll management.
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Best free budging app if you use VantageScore
SoFi Relay
On SoFi's secure site
Cost
SoFi Relay has no fees or costs for use.
Standout features
SoFi Relay allows you to compile into one place information about your assets, liabilities and financial goals.
Categorizes your expenses
Yes, Relay allows you to view charts that categorize credit card and debit card transactions by budgeting categories (such as groceries and utility bills).
Links to accounts
Yes, Relay allows you to link accounts at external institutions to review spending, savings and budgeting across multiple accounts, and based on current month as well as historical trends
Availability
Available on SoFi.com on the web or in the SoFi mobile app.
Security features
User data is storedin a secure location that includes physical security, fire protection, and electronic shielding.
Terms apply.
Pros
- Free to use
- Users can create charts that categorize spending in different financial categories
- Provides tips and insights based on your financial information
- Allows you to compile and view financial info from multiple accounts
- Automatically updates your connected accounts to always be up-to-date
- Security features include both physical and electronic protections
Cons
- Uses the VantageScore®3.0 credit score, not FICO
- May lack some premium features other paid apps provide
Who's this for? SoFi Relay is worth considering if you prefer using the VantageScore system over the FICO for your credit score.
Standout benefits: SoFi can track your recurring transactions to help you plan for monthly expenses.
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Best free budgeting app for managing subscriptions
Rocket Money
Cost
Free, with the option to upgrade to Rocket Money Premium for a fee of $4 to $12 per month (with 7-day free trial). Bill negotiation costs between 30% to 60% of the 12-month savings achieved as a result of the negotiation.
Standout features
Easily cancel unwanted subscriptions, track your spending and credit score, automate savings and get help lowering bills
Categorizes your expenses
Yes, Rocket Money instantly identifies your top spending categories
Links to accounts
Yes, bank and credit cards
Availability
Offered in both the App Store (for iOS) and on Google Play (for Android), as well as online
Security features
Rocket Money accesses users' transaction data via an encrypted token, uses Plaid API so user credentials are never stored, provides bank-level 256-bit encryption and hosts servers on secure Amazon Web Services (AWS), which is used by the Department of Defense, NASA and the Financial Industry Regulatory Authority (FINRA)
Terms apply.
Pros
- Negotiates cell phone and cable bills, plus helps you get refunds for some bank fees
- Free version available
- Syncs to your bank accounts and credit cards
- Instantly finds and tracks your subscriptions
- Website says 80% of people save money by using Rocket Money (formerly Truebill) to find and cancel unwanted subscriptions
- Provides breakdown of user spending and notifies of upcoming charges and low balance alerts
- Helps users create a budget
- Users can see their Experian VantageScore 3.0 credit score and get access to their credit report
- Provides an interest-free pay advance up to $100 directly to qualifying users' checking accounts
- Users can set goals, save money with autopilot Smart Savings feature
- Concierge service available to identify bills to be lowered and, for a fee, Rocket Money (formerly Truebill) will negotiate on users' behalf for the best rates (non-refundable negotiation fee is anywhere from 30% to 60% of the 12-month savings achieved as a result of the negotiation)
- Rocket Money (formerly Truebill) Premium Service features include free access to Smart Savings feature, unlimited budgeting categories, custom spend categories, real-time account balance updates, premium chat, subscription cancellation concierge, “Truebill Offers" and educational material
- Coming soon: Users can track their net worth
- High Trustscore rating of 4.3/5 stars (from 392 reviews)
Cons
- Costs between $4 and $12 per month to upgrade to Rocket Money Premium Service
- Non-refundable negotiation fee anywhere from 30% to 60% of the 12-month savings achieved as a result of Rocket Money's bill negotiation on users' behalf
- Less than 10 Better Business Bureau reviews
- Does not negotiate internet, landline phones, cable/phone/internet bundles, alarm and security systems, satellite radio/TV or electric bills
Who's this for? Rocket Money is a top choice if you want to organize, track and easily cancel your monthly subscription services.
Standout benefits: Rocket Money can help you track all of your subscription services providing you with a single list and making them easier to cancel if needed.
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More on our best free budgeting tools
Goodbudget
Goodbudget is a personal finance app based on the envelop budgeting system, but with a few tweaks to help modernize the method.
Availability: iOS, Android and online
Links to accounts: No
Categorizes your expenses: Yes, but users must manually input transactions
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Empower
Empower serves over 18 million customers with a range of financial products and tools, from retirement accounts to investment and cash management accounts. Its budgeting app, Empower Personal Dashboard, can help you better track and adjust your finances by having all your financial accounts in one place.
Availability: iOS and Android
Links to accounts: Yes, bank and credit cards, as well as IRAs, 401(k)s, mortgages and loans
Categorizes your expenses: Yes, but users can modify
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GnuCash
GnuCash is an accounting software developed and maintained by volunteers and fits the financial needs of both individuals and small businesses.
Availability: Windows, Mac and Linux
Links to accounts: Users can import their bank account information
Categorizes your expenses: No
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SoFi Relay
SoFiis a large online bank that offers a range of products, from student loans tomortgages,savings accountsand more.SoFi Relay allows you to create your budget and review spending habits while using the VantageScore® 3.0 credit score.
Availability: iOS and Android
Links to accounts: Yes
Categorizes your expenses: Yes
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Rocket Money
Rocket Money, from the same company behind Rocket Mortgage, has saved its users over $1 billion. It offers more unique features like bill negotiation and help with managing subscriptions.
Availability: iOS, Android and online
Links to accounts: Yes, bank and credit cards
Categorizes your expenses: Yes
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What does a budgeting tool do?
Budgeting gets a bad rap for being a monotonous and tedious task, but it can also be a helpful way to understand your spending habits. A budgeting tool can make the process a lot easier if you find the right one for your needs.
That tool might be a calculator where you plug in your transactions or an app that auto-categorizes your spending.
Hands-on methods, such as manually entering your transactions into a spreadsheet, may take more time, but the process can help you be more thoughtful about your spending.
You'll also want to decide if you want to pay for a budgeting tool. While the top-rated tools on this list come at no cost to users, those who don't mind paying for some premium offerings have options for budgeting tools with more robust features. A popular choice is the budgeting app You Need A Budget (YNAB), which offers a 34-day free trial, then costs $84 per year, or $11.99 per month. Users can set goals, customize spending categories, plus get access to 100+ free educational workshopsoffered every week. (Learn more in the app's review.)
You Need a Budget (YNAB)
Cost
34-day free trial then $99 per year or $14.99 per month (college students who provide proof of enrollment get 12 months free)
Standout features
Instead of using traditional budgeting buckets, users allocate every dollar they earn to something (known as the "zero-based budgetingsystem" where no dollar is unaccounted for). Every dollar is assigned a "job," whether it's to go toward bills, savings, investments, etc.
Categorizes your expenses
No
Links to accounts
Yes, bank and credit cards
Availability
Offered in both the App Store (for iOS) and on Google Play (for Android)
Security features
Encrypted data, accredited data centers, third-party audits and more
Terms apply.
How do you create a budget?
Making a budget can be done in as little as five steps:
- Calculate your net income: First, find out how much money you make each month (your cash inflow). Your net income is the amount of money you earn after taxes and can be found on the pay stub you receive through your employer.
- List your monthly expenses: Next, you want to look at your monthly costs (your cash outflow). Common monthly expenses include rent or mortgage payments, utility bills, loan payments, insurance costs, transportation, child care, groceries, dining, household goods, travel, streaming subscriptions and memberships. Also included in this category are your savings contributions, such as in a 401(k) or high-yield savings account.
- Label the monthly expenses as fixed or variable: Go through your list of monthly expenses and now label each as a fixed (essential items) or variable cost (nonessential items). Examples of fixed costs are rent, utility bills, transportation, insurance, food and loan payments. Your dining, travel, clothing (beyond the basics), subscriptions and memberships are variable costs. This is an important step in the process because it helps you see where you can cut back if you need to.
- Determine the average monthly costs for each expense: List how much you spend on each expense per month and add them all up. It's easiest to do this step while looking at your bank account and credit card statements from the past month.
- Make adjustments depending on what your budget reveals: If your expenses exceed your income, this means focusing on finding items in your budget that you can remove or cut back spending on. On the other hand, if your income is higher than your expenses, reevaluate what you should be doing with those excess funds, for instance, earning more interest with a high-yield savings account.
How to choose a free budgeting tool
When choosing a budgeting tool, first decide what your financial goals are. Are you trying to pay down your debt? Save up to put a downpayment on a mortgage? This will impact your decision-making process, as these apps have various strengths and weaknesses. Then, you can decide how you want to interact with your free budgeting tool. Do you want to create and allocate spending yourself, or would you rather have your spending habits tracked and adjust from there? Some people prefer digital-only tools while others prefer a tactile experience like the envelope method. The nice thing is that since all these tools are free, you can test several of them and see which you prefer.
Pros and cons of budgeting tools
While free budgeting tools come with a lot of pros, they also have a few drawbacks.
Pros of budgeting tools
- Consolidates your finances: Many budgeting tools will allow you to see all your financial info, even across banks, in one simple location.
- Visuals: Some financial tools offer charts and graphs that can help you better visualize your finances.
- Easy to use: Lots of budgeting tools are fairly streamlined and easy to understand from the start.
Cons of budgeting tools
- Could be difficult to find balance: At the start, some budgeting might feel too restrictive or inflexible which could add to your stress. Additionally, if you're budgeting with a partner you'll need to have a conversation about how you manage your finances.
- Might be more time-consuming: From narrowing down the right budgeting style to entering all your financial info, budgets take some time to get off the ground.
What if these apps don't sound like the best fit?
If none of these are striking the right chord with you, you could always try using a spreadsheet for your budget. Spreadsheets tend to give you more customization options and can be more flexible if you have a less traditional budget. Google Sheets can be a good option as it saves all your data in the cloud meaning you can access it from almost anywhere.
Google Sheets
Information about Google Sheets has been collected independently by Select and has not been reviewed or provided by Google Sheets prior to publication.
Cost
Free
Standout features
Gmail account users can access a variety of free budgeting templates to help get started
Categorizes your expenses
Users manually input their expenses, but some budgeting templates offer preset categories
Links to accounts
No, but some templates offer third-party add-on software that automatically pulls financial transactions into Google Sheets
Availability
Offered on web browser and smartphone devices
Security features
Googleserver protection: Unless you've shared your Google Sheet with someone, nobody can access your files without your Gmail account username and password. For this, Google offers two-factor authentication and physical security keys like YubiKey
Terms apply.
Pros
- Free to use with your Gmail account
- Google Sheets can be accessed from anywhere via the mobile app
- Templates help users navigate making a budget
- Hands-on approach forces users to really think about each transaction they make
- Third-party add-on software available on some templates to import your banking transaction data
- Security features include Googleserver protection
Cons
- Requires users to manually input transactions and other data, unless third-party add-on software is available with template
- Offers so many different budgeting templates that it may be overwhelming to choose the best one for you
FAQs
What can I use instead of the Mint app?
If you're looking for a new free budgeting tool, there are many options above that fit a wide variety of budgeting styles, like Goodbudget or Rocket Money.
Are free budgeting apps safe?
While free budgeting apps are generally safe, it's important to be mindful of your financial information and only provide it to sources you trust.
What information do I need to make a budget?
To make a basic budget you need to know your income, determine what spending is essential vs nonessential, and subtract your expenses. You can compare the differences and adjust as needed.
Why trust CNBC Select?
At CNBC Select, our mission is to provide our readers with high-quality service journalism and comprehensive consumer advice so they can make informed decisions with their money. Every budgeting tool review is based on rigorous reporting by our team of expert writers and editors with extensive knowledge of personal finance products. While CNBC Select earns a commission from affiliate partners on many offers and links, we create all our content without input from our commercial team or any outside third parties, and we pride ourselves on our journalistic standards and ethics. See our methodology for more information on how we choose the best free budgeting tools.
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Our methodology
To determine which free budgeting tools offer the best user experience, CNBC Select analyzed over a dozen different budgeting tools and looked at their features and user reviews.
We narrowed down our ranking by looking for apps that offer a free service, not just a free trial, and fit a variety of budgeting methods. We wanted variety in the ways users can build their budget, and we ranked each tool based on areas where they excel.
The tools we selected for this ranking are all free and provide users value. For our selection, we also favored budgeting tools that have strong user reviews.
Other factors we looked at included the security features, user customization and illustrative data insight, such as graphs and reports, that are available.
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Editorial Note: Opinions, analyses, reviews or recommendations expressed in this article are those of the Select editorial staff’s alone, and have not been reviewed, approved or otherwise endorsed by any third party.
