Manage Your Money – Personal Capital Review
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Are you looking to improve your finances and better understand where your money goes? Well, Personal Capital helps to make that process a little simpler.
We run a very frugal home, but our frugality was unguided until we started actually looking at where we were spending our money. Not just the big categories and purchases, but we track every single dollar.
Tracking our spending is the reason we have been able to decrease our spending and up our savings by $15,000/year.
We now save $15,000 MORE every year!
I know, tracking every dollar sounds miserable. But fortunately there’s a FREE app for that (plus there’s a website too)!
We use Personal Capital to track all of our spending, earning, and saving – so we can spend our days doing things we love.
Personal Capital Review
What is It?
Personal Capital helps you connect all of your accounts in one place. This is helpful to:
- Check all of your accounts at one time (especially helpful for if you have multiple bank accounts, investment accounts, and credit cards)
- Track your net worth
It allows you to connect your mortgage, bank, credit card, retirement account, investment portfolio, and more. You can quickly check in and see your savings, spending, and investments, all in one place.
(Note: The images used in this post are not from my own account, but are examples.)
And, once more, it is free!
Why Use Personal Capital?
Personal Capital is great once you start the investing part of your financial journey. Mint and other budgeting softwares are best for motivating you to stay on budget. While Personal Capital excels at showing you where your money is going.
Personal Capital also has great tables that show your investment portfolio allocations and fees!
You can review growth in all of your individual accounts, or look at your big financial picture.
I still like maintaining a few money spreadsheets, but Personal Capital is so much more convenient. And it let’s me download my spending (from ALL of my accounts) to one spreadsheet, so I only have to look at my spending once per month. (Plus you can do a quick scan using the app throughout the month when you are curious.)
They also offer portfolio check-ups and will help you manage your investments (for a fee), but I haven’t taken advantage of any of those services. Your first consultation is free if you have $100,000 of investment assets connected.
Keeping your money and identity safe is obviously very important, so I wanted to dig into why you can trust this software.
First, you can’t actually move any money using Personal Capital. They basically have “read only” access to your accounts. Also, they use bank-level, military grade encryption to protect your security. Personal Capital is a credible company that has been around since 2009. Their CEO, Bill Harris, was previously CEO of Intuit and Paypal.
How do I Use Personal Capital?
You can click here to sign up! Personal Capital will ask for your email address, password, and phone number. After that it’ll prompt you to connect your accounts.
I really enjoy using Personal Capital for their investment fee analyzer tool and net worth tracker, so I especially recommend connecting your retirement accounts. I have all of my (and my hubby’s) accounts connected under one account since we jointly share our money. The types of accounts you can connect include:
- Roth and Traditional IRAs
- 401k/Retirement Accounts
- Taxable Brokerages
- Credit Cards
- College Savings (529s)
- and more
Once you’ve connected your accounts you will immediately be able to see where your money is going and try out the software. Personal Capital will automatically update your account balances and details. Plus, you can change the time window on their charts and graphs so you can review the past week, month, year, etc.
The “Extra” Money We Now Have
Remember that $15,000 I mentioned earlier? That money we were spending, but didn’t necessarily add a lot of value to our lives. Well, now it opens up a lot more options for our daily lives. Without saving the extra money:
- Mr. Kiwi wouldn’t have quit his acceptable, but uninteresting job to pursue his passion
- We would give less money to causes we care about
- Our retirement accounts wouldn’t be fully funded
- I’d be more fearful for our future
- Early retirement would be far off into the future, instead of attainable in the next decade
We would not be where we are today if we hadn’t started by looking into our spending and thinking about our goals and values. Personal Capital helped us to quickly see our spending, investing, and cash flow, so we could focus on the fun stuff: figuring out our values.
What would you do with an extra $15,000 every year?
I hope you enjoyed the Personal Capital review, click here to sign up for free! Let me know if you have any questions, I’d be happy to help!