Is YNAB Legit?

Jeremy BiberdorfBy: Jeremy Biberdorf

April 3, 2023April 3, 2023


If you’re searching for a reliable budgeting app to help you manage your finances, you may have come across YNAB (You Need A Budget). Like any other financial tool, it’s essential to ask, “Is YNAB legit?” In this article, we’ll delve into the company’s background, features, and benefits, helping you make an informed decision about whether YNAB is the right fit for your financial needs.

Company Background

YNAB was founded in 2004 by Jesse Mecham, who created the software to help him and his wife manage their finances. The company has since grown into a well-known personal finance app that focuses on helping users gain control of their money by implementing a unique approach to budgeting. YNAB’s primary goal is to help users break the paycheck-to-paycheck cycle, save more money, and achieve their financial goals.
Learn More About YNAB

Customer Reviews

A key aspect of determining the legitimacy and effectiveness of a product or service is to consider the experiences of real users. In the case of YNAB, customer reviews provide valuable insights into the app’s performance, usability, and impact on users’ financial lives.

Based on over 500 reviews on Trustpilot, YNAB has an excellent TrustScore of 4.5 out of 5, indicating a high level of satisfaction among its users. This score demonstrates that YNAB is not only a legitimate budgeting tool but also one that has successfully helped many users manage their finances more effectively.

“YNAB: great financial secretary – Having budgeted for many years using other means, I have found YNAB to be very user friendly and I certainly do recommend it. With anything new, there is always a learning curve and YNAB was no exception. However, help was a quick email away every time I needed it. YNAB will even keep track of bank and credit card charges, which I find extremely helpful. Great app!”
“Worth the Subscription – I rarely pay for anything on a subscription rate, but this app has covered its costs 10 fold for me. After a little bit of a learning curve and change of mindset, I’m in control of my spending, money and income like I never was when I was younger. I will continue to use YNAB to grow my savings, budget for the future and be in charge of my money.”
“Drastically lowered my money anxiety. I’ve been doing YNAB for 14 months now.
It is so easy to see all your accounts in one place like checking, savings, credit cards, 529, investments, mortgage, car loans. Transactions automatically import and you put it in a category. You can be diligent not to overspend in a category, but if you do, it’s very simple to move money out of another category to cover the expense. Since I see every expense line item, I’ve been able to see things that we no longer needed, or we were charged twice, or we got overcharged. These savings throughout the year easily paid for the annual YNAB subscription.
I’ve purchased it for my employees as well. If you’re serious about knowing where your money is going, YNAB is a great tool to help you.”

Is YNAB Worth It?

YNAB is a budgeting tool that caters to individuals who want to take control of their finances by tracking their spending habits, setting financial goals, and making informed spending decisions. YNAB uses a zero-based budgeting method, which means that every dollar has a purpose, and users are encouraged to allocate their income to various spending categories, savings accounts, and true expenses.

To help you decide if YNAB is the right choice for your financial needs, let’s discuss some of the app’s features, benefits, and potential drawbacks.

Features and Benefits

  • 34-Day Free Trial: YNAB offers a 34-day free trial, allowing users to test the app’s features and capabilities before committing to a paid subscription. This trial period is an excellent opportunity to determine whether YNAB’s approach to budgeting aligns with your financial needs and preferences.
  • Budgeting Feature: YNAB’s primary function is its budgeting feature, which allows users to create customized spending categories, set spending goals, and track their progress toward achieving their financial goals. Users can also monitor their monthly expenses, adjust their budget categories, and see how their current balance affects their overall financial health.
  • Connection to Financial Accounts: YNAB can connect to various financial accounts, such as bank accounts, credit card accounts, and even investment accounts. By linking your financial institutions, you can automatically import transactions, making it easier to track your spending and manage your budget.
  • Credit Score Monitoring: Although YNAB’s primary focus is on budgeting, the app also offers credit score monitoring for its users. This feature helps users understand how their financial habits and decisions impact their credit score, which is an essential aspect of overall financial health.
  • Emergency Fund Planning: YNAB encourages users to create an emergency fund, ensuring they have a financial safety net in case of unexpected expenses. The app provides guidance on how to build and maintain an emergency fund within your budget.
  • Financial Goals: Users can set financial goals within the app, such as paying off credit card debt, saving for a vacation, or building an emergency fund. YNAB’s approach to budgeting helps users prioritize their goals and allocate their income accordingly.
  • Security and Privacy: YNAB takes the security and privacy of its users’ information seriously. The app uses bank-level encryption to protect your financial data and adheres to strict security protocols. Additionally, YNAB’s terms of service outline their commitment to maintaining user privacy.

Potential Drawbacks

  • Learning Curve: YNAB’s budgeting method may be different from other budgeting apps, and users might experience a learning curve when adjusting to the app’s approach. However, YNAB offers various resources, such as video tutorials and blog posts, to help users understand and implement their budgeting method effectively.
  • Subscription Cost: YNAB is a subscription-based service, with an annual fee. While the app offers a 34-day free trial, users will need to pay for a subscription after the trial period to continue using the service. The subscription cost might be a drawback for some users, especially if they are already struggling financially. However, the potential benefits of using YNAB to improve financial health may outweigh the subscription cost for many individuals.
  • Limited Investment Tracking: While YNAB does allow users to link their investment accounts, the app’s primary focus is on budgeting and not investment tracking or portfolio management. Users who are looking for an all-in-one personal finance app that also covers investments may find YNAB’s investment tracking features limited.
  • Default Budget Categories: YNAB comes with a set of default budget categories that may not suit everyone’s needs. However, users have the option to customize these categories and create new ones, tailoring the budget to their unique financial situation and goals.

Is YNAB Legit?

YNAB is a legitimate and reputable budgeting app designed to help users gain control of their finances, break the paycheck-to-paycheck cycle, and achieve their financial goals. The app’s features, such as the zero-based budgeting method, customizable spending categories, and connection to financial accounts, provide users with a comprehensive tool for managing their money effectively.

YNAB’s 34-day free trial offers potential users the opportunity to test the app’s capabilities and decide if its approach to budgeting aligns with their needs and preferences. Additionally, the app’s focus on security, privacy, and adherence to terms of service ensures that users can trust YNAB with their financial information.

While there are potential drawbacks, such as the learning curve, subscription cost, and limited investment tracking features, the benefits of using YNAB to improve one’s financial health may outweigh these drawbacks for many individuals.

Ultimately, YNAB is a legitimate and effective budgeting tool that can help users make informed spending decisions, set financial goals, and monitor their progress toward achieving them. If you’re looking for a comprehensive budgeting app to improve your financial health, YNAB is worth it. Click here to get started today!

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Jeremy Biberdorf
Jeremy Biberdorf

About the Author:

Jeremy Biberdorf is the founder of Modest Money. He's a father of 2 beautiful girls, a dog owner, a long-time online entrepreneur and an investing enthusiast.

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