Updated: Sep 13, 2020
Some of the commonly asked questions for personal finance are:
How much do you earn monthly?
How much do you save monthly?
How much do you spend monthly?
Most people earn a single income, so they know how much they earn monthly. But most of them will "make up" figures for questions 2 & 3, which are inversely related to one another. Really, without monitoring expenditures closely, how can they derive at an average monthly expense figure off-hand?
Most people tend to underestimate their expenses because they will sum up the regular ones (which are easy to remember) but forget adhoc ones, such as a couple of car repairs, an overseas trip, a new king-size bed, etc. Adhoc expenses usually eat into savings if they are not budgeted for.
In personal finance, understanding expenditure patterns is more important than knowing income. One can work hard to achieve higher income, but not keeping spending habits in check will not improve his/her personal financial health. So, we came up with iTreasurer (where everyone is the treasurer of their own finances) to track expenses and perform self-analysis on expenditure patterns.
Objective of iTreasurer
"Spending $1 a day is more than spending $100 three times a year."
It is usually the insignificant amounts that we ignored that contribute the largest part of our expenses. And we won't know that until we track them for some time. This is where iTreasurer comes into play.
The main intention is to know where has all the money gone to. In other words, to better understand our expenditure habits, in daily life or when carrying out certain activities, and manage it to improve our financial health.
Apart from expenses, iTreasurer can also track incomes or incoming funds. This will give a better picture on amounts that remain in our pockets.
The Wallet Concept
iTreasurer uses the concept of a wallet to manage a fund. Like a physical wallet, money should be in first before paying for expenses. This is a good practice in terms of personal finance management. In iTreasurer, multiple "wallets" can be created to track or mimic money movements in physical wallets or for special purpose funds.
Wallets in iTreasurer are dual-currency. This means that each wallet can support two currencies, a foreign currency of interest and the default home currency specified in the app's Settings. This design facilitates tracking of travel funds, where travellers usually incur expenses in the travel destination's currency as well as in the home currency when making reservations online. iTreasurer expands the dual-currency feature to all wallets, not just for travel use.
For local use, or when only the home currency is required, the wallet will be single-currency.