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Digital tools add convenience, but don’t remove the “human” from human error.

2 minute read

Most Americans agree that technology is making it easier to manage our money. Then, why are so many worried about their finances?

Only 37 percent of Americans are pleased with their financial situation, while 1 in 3 considers money management a burden, says a study from financial service company Fiserv.

“Although money management remains a challenge for many households, there is an openness to new ways of doing things,” says a Fiserv executive Devin McGranahan.”While consumers already rely on mobile access and transaction alerts, financial institutions and billing organizations can create more intelligent experiences that build loyalty.”

Tech is here to stay

It’s not that technology doesn’t help, it’s that Americans don’t like handling their finances. Even with new gadgets, most Americans dislike managing their money.

Three-fifths (59 percent) say money management is an obligation. And half (47 percent) say it’s a reminder of their financial difficulties, says Fiserv’s study. Financial health is consistently below other health factors to Americans.

Thirty-seven percent of Americans are satisfied with their financial well-being. That’s compared to emotional health (54 percent), social life (45 percent), and physical health (44 percent).

Despite their outlook, Americans accept technology as the new way to pay.

Twenty-five percent feel that using an app — over debit and credit cards — will be the preferred way to pay in-person over the next five years, says a study from Koski research. Eighty-four percent of Americans say they want to use an online platform to manage their money. And two-thirds say they’d keep their money in one digital app for deposits and payments.

“Americans are looking for better, integrated ways to manage their finances across different aspects of their financial lives,” says CEO of Koski Research Lilah Koski. “Including their income, their spending, their saving, and their investing.”

Currently, the most common digital tool to pay is PayPal, with 44 percent of Americans saying so. Here are the next most common “digital wallet” tools…

  • A store app: 18 percent
  • Bank digital wallet: 16 percent
  • Apple Pay: 10 percent
  • Google Pay: 7 percent

Old game, new tools

Having tools to make money management easier is great, but only works when Americans use them.

“When I first became a CPA nearly three decades ago, we had computer programs to help us, but most of our clients didn’t,” says Debt.com chairman Howard Dvorkin. “Today, you can not only manage your money from your phone, you can even pay your taxes.”

However, Dvorkin suggests that tech does not yet exist that will fully manage your money on its own, without you controlling it. Until that day comes, it’s on everyday Americans to still plan out their finances themselves. And, although Americans dislike money management — advice, and easy-to-use tools are always just a click away.

There are many money management resources available. You can use these to help set up a budget, manage your accounts and even learn investment options. It doesn’t hurt to do some reading on personal finance advice blogs, too. But finding trusted information on the internet is tough these days.

When searching for financial advice start by viewing governmental websites. If the web address ends with “.gov” you’re in good shape to trust the information is legitimate.

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About the Author

Joe Pye

Joe Pye

Joe Pye is a certified debt management professional. He served as Editor-in-Chief of Florida Atlantic University’s newspaper, the University Press. He was a finalist for the Mark of Excellence award by the Society of Professional Journalists Region 3 for feature writing and in-depth reporting. He now covers personal finance topics for Debt.com uncovering trends that help readers deal with the financial world. He graduated with a bachelor’s degree in multimedia journalism from Florida Atlantic University.

Published by Debt.com, LLC Mobile users may also access the AMP Version: Does Technology Make Money Management Easier? - AMP.