MyBudget is an Australian service that creates customised budgets for its clients and helps them to pay down their debts and to save more. Clients pay weekly for this service. Read on for the full MyBudget review..
The Good
- You can easily see your financial situation using either the website or the app.
- MyBudget allows you to have all of your financial information in one place.
- It is easier to stick to your budget if the money that is allocated to bills is not in your savings account.
- MyBudget has money coaches and you can easily send them an email or book a 15-minute call with them.
- You can get started with a free, no-obligation budget plan
- Several free resources on the website
The Bad
- There is a set-up fee and a weekly administration fee.
- If you are paying for the MyBudget service, you are spending money that you could use to pay your bills, start your savings or to pay down your debt.
- At the beginning of the process, there is a lack of transparency. re: pricing.
Verdict: Free to get started which is a good way to decide if this service is for you. In my opinion, if you read the articles on the CaptainFi blog for FREE, you can learn to do this budgeting for yourself!
Introduction
MyBudget is an Australian company that has been helping people to get control of their finances since 1999. Clients with MyBudget set up an account and their bills are all paid automatically through MyBudget. MyBudget provides tools and resources which allow their clients to make informed decisions about their finances and regularly publishes articles on their blog.
MyBudget charges a weekly administrative fee as well as a fee to set up the account, so its clients all have a regular income. For working people who need help paying bills, becoming debt free or trying to save extra money, MyBudget could be a very useful service.
CaptainFI is not a Financial Advisor and the information below is factual review information, not financial advice. This website is reader-supported, which means we may be paid by advertising on the site, or when you visit links to partner or featured sites. For more information please read my Privacy Policy, Terms of Use, and Financial Disclaimer.
What is MyBudget7?
MyBudget7 is a service that helps people address their money worries and to achieve their financial goals. It was started in 1999 by Tammy Barton,1 who started the company when she realised that many people did not understand how to manage their money and that these people needed assistance in paying down their debts and saving. The company is based in Adelaide, but the service is available online throughout Australia.
“Our clients come from all walks of life. From young to old, casual workers to CEOs, from people on government benefits to those with six-figure salaries. The requirements are that you have a regular and reliable income that is paid into a bank account. You will need to meet minimum income and serviceability thresholds. During the initial chat, we will ask you some questions about your financial situation to assess your eligibility.”
mybudget.com.au
How does MyBudget work?
MyBudget works together with its clients to create a plan to use their money more effectively. The process starts with a free consultation where a MyBudget consultant goes through a potential client’s finances with them in order to create a customised budget plan for the next 12 months.
The first consultation is free and the client can then decide whether or not MyBudget could be useful for them. After the consultation, a MyBudget team member will set up the MyBudget account so that MyBudget can manage all of the client’s bills, payments, and savings.
If necessary, MyBudget can even negotiate with creditors to make affordable payment arrangements. The money that goes into the client’s MyBudget account is automatically allocated into streams (similar to the Barefoot Buckets), so that bills can be paid on time. Money for living expenses is transferred to the client’s bank account, but other bills are paid directly from the MyBudget account. These streams are not fixed and changes can easily be made if circumstances change.
What services does MyBudget offer?
There are a number of services that are provided by MyBudget. The most important services are the MyBudget customised budget and automatic bill payment from the MyBudget account, which can take the worry out of future payments, but these are not the only services they provide. In addition to these, they can also help their clients to organise debt consolidation 2 where multiple debts are combined into a larger single debt. MyBudget can also negotiate payment plans 3 with creditors to reduce the amount of monthly payments or even the total debt.
How much does MyBudget cost?
Your first appointment is free. If you decide to create a MyBudget account, there is a set up fee and weekly administration costs. The amount of the fees will depend on your financial situation and the only way to know how much you would have to pay is by setting up a consultation.
“Your first appointment with MyBudget is free. If you decide to join, your fees will depend on the complexity of your financial situation and the level of support you need. Our mission is to improve financial wellbeing, so our fees are designed to be an affordable investment towards helping you achieve your financial goals.”
mybudget.com.au7
Who owns MyBudget?
Tammy Barton founded MyBudget in 1999. She was working for a debt collection company and she realised the impact that financial stress had on people’s lives.
Does MyBudget affect your credit rating?
MyBudget can help you to improve your credit report. By ensuring that you pay all of your bills on time, your credit rating can improve. As you pay off your debts, this will also improve your credit rating. For more about your credit score, read 6 major life changes that can affect your credit score | Equifax Personal 4.
Does the MyBudget website have any free resources?
Clients have access to money coaches to answer any of their questions. They can book a free 15-minute call with money coaches or contact them by email. For clients in Adelaide, a face to face meeting may also be possible.
MyBudget provides templates for creating personal budgets and a free Christmas budget calculator. All you need to do is fill in the templates with your specific information and then MyBudget will send the completed budgets to you.
MyBudget provides savings, home loan, and personal loan calculators which allow you to easily see how you can achieve your financial goals faster. For example, you may be able to reduce the amount of interest you pay over the life of the loan by choosing weekly payments over monthly ones. If you make additional payments on your loan, it will also reduce the amount of interest you pay. The MyBudget calculators make it easy to see what savings you can make.
You can find various guides and ebooks on the MyBudget website. These books give advice on how to get out of debt faster or how to save more. There are even some workbooks for children to help them learn more about money management.
They occasionally email free budgeting and money tips. The website also has a blog with articles with interesting financial information. The two most recent articles are “How to Save Money: 13 money saving tips’ and ‘the Federal Budget Australia October 2022: the pros and cons for the average Aussie’.
Does MyBudget provide financial advice?
MyBudget holds an Australian Financial Services Licence and an Australian Credit Licence, so they are financial experts. However, MyBudget are not financial advisors5 and they do not give financial advice.
Advantages of using MyBudget?
- You can easily see your financial situation using either the website or the app which is available on the App Store or on Google Play. MyBudget allows you to have all of your financial information in one place.
- It is easier to stick to your budget if the money that is allocated to bills is not in your savings account. By setting up streams in your MyBudget account, you know that the money in your bank account is yours to spend.
- MyBudget has money coaches and you can easily send them an email or book a 15-minute call with them. If you have a question or a problem, you have someone who understands your specific situation and can give you good advice.
- You can get started with a free, no-obligation budget plan
- Several free resources on the website
Disadvantages of using MyBudget?
- There is a set-up fee and a weekly administration fee. You need to be aware of the cost of using this service. It may be too high for some.
- Because you are paying for the MyBudget service, you are spending money that you could use to pay your bills, start your savings or to pay down your debt.
- At the beginning of the process, there is a lack of transparency. When you go to the MyBudget website, it does not give you any idea how much the service might cost. Instead, you have to call for a consultation. This could be a waste of time if you decide you do not want to use the service.
FAQs about MyBudget:
Does MyBudget offer any free consultations?
Your first consultation is free. You can also contact a money coach for a free 15-minute phone call or you can send an email. Although these are said to be free, since you are already making regular payments to MyBudget, you are actually paying for them.
How are MyBudget appointments conducted?
Most appointments are done over the phone, but if you live in South Australia, you have the option of face-to-face appointments.
Can I cancel MyBudget?
You can cancel your MyBudget account at any time as there are no lock-in contracts.
However, MyBudget suggests that you should give at least 28 days’ notice in writing so that they can ensure that they can cancel all of the regular payments that they make. You still have to pay the weekly fees during this time.
Is it worth using MyBudget?
If you have a regular income, but you have lost control of your finances, MyBudget is worth thinking about. Everyone’s financial position is different, so it is impossible to know whether MyBudget is worth using. For some people, it is very convenient to have MyBudget ensure that their bills are paid before they spend their money.
Some users have also said that MyBudget makes it easier for them to save more money even though they didn’t have any specific money problems. Other users have said that the commonsense advice that is given by MyBudget is not very useful to them and that they would rather save money instead of paying MyBudget.
MyBudget is not worth it for everyone, but if you want to save more money or to pay down your debts, then it is worth making an appointment for a free consultation with MyBudget. You can also check out some MyBudget Reviews on Product Review HERE 6.
Conclusion
MyBudget provides a financial service that allows people who cannot manage their money effectively to reduce their debts and increase their savings. With a MyBudget account, a client’s income is automatically allocated to the different expenses that have been nominated by the client. The remaining money then goes to the client’s own bank account to spend as they wish. Clients can use their bank account for spending, knowing that all of their bills are being paid automatically.
MyBudget also provides other help and information for their clients. The service is not cheap and for many people, it is not affordable. However, for those on a good income who have debts or who don’t seem to be able to save, MyBudget may be a great service if they’re able to provide a solution to these problems, helping you achieve financial freedom or potentially a better work-life balance.
Have you used MyBudget or a similar service? What did you think? Would you recommend MyBudget? Let us know in the comments!
CaptainFI is not a Financial Advisor and the information below is factual review information, not financial advice. This website is reader-supported, which means we may be paid by advertising on the site, or when you visit links to partner or featured sites. For more information please read my Privacy Policy, Terms of Use, and Financial Disclaimer.
Reference List:
1. ‘How Tammy Barton built a $34 million a year business’. Bali Blacher. 26 Oct, 2018. Dynamic Business. Accessed online at https://dynamicbusiness.com/featured/how-tammy-barton-built-a-34-million-a-year-business.html on 20 Nov, 2022.
2. ‘Debt Consolidation’. Julia Kagan. Updated 15 Mar, 2022. Investopedia. Accessed online at https://www.investopedia.com/terms/d/debtconsolidation.asp on 20 Nov, 2022.
3. ‘How to Negotiate With Debt Collectors (and Why You Always Should)’. Meredith Dietz. 24, Sept, 2022. LifeHacker Au. Accessed online at https://www.lifehacker.com.au/2022/09/how-to-negotiate-with-debt-collectors-and-why-you-always-should/ on 20 Nov, 2022.
4. ‘6 major life changes that can affect your credit score. Equifax. Published 17 Nov, 2022. Accessed online at https://www.equifax.com.au/personal/major-life-changes-and-your-credit-score on 20 Nov, 2022.
5. ‘What Is A Financial Advisor? How Do They Work?’ E. Napoletano. Updated 1 June, 2022. Forbes Advisor. Accessed online at https://www.forbes.com/advisor/investing/financial-advisor/what-is-a-financial-advisor/ on 20 Nov, 2022.
6. ‘MyBudget’, Product Review. Accessed online at https://www.productreview.com.au/listings/my-budget on Nov 29, 2022.
Captain FI is a Retired Pilot who lives in Adelaide, South Australia. He is passionate about Financial Independence and writes about Personal Finance and his journey to reach FI at 29, allowing him to retire at 30.
