Are you wondering if Empower is the right tool to help you track your net worth, budget and investment? This empower review breaks down everything you need to know. Tracking your money can feel overwhelming, especially when you have multiple bank accounts, credit cards and investments. That’s why I love using financial tools…
Are you wondering if Empower is the right tool to help you track your net worth, budget and investment? this Empower Review Decompose everything you need to know.
Tracking your money can feel overwhelming, especially when you have multiple bank accounts, credit cards and investments. That’s why I love using financial tools and money apps that help simplify the process.
One of the best free sites for managing your finances in one place is Empower (formerly known as Personal Capital).
I first reviewed individual capital years ago, and ever since, they have been rebranded to Empowerment. They still have a popular free financial dashboard.
In this review we’ll cover everything you need to know about Empower. For example, how it works, who is best, whether it is worth using, etc. We also share personal experiences and some tips to make the most of the free tools provided by Empower.
To use Empower for free, click here.
My Empower Review
Below, I will learn what I think about this popular financial planning tool.
What is Empower?
Empower is a financial services company that provides the free Personal Dashboard Financial Tracking Tool and supports over 18 million people. Whether for honeymoon or retirement, Empower can help you save smarter and spend better.
The platform offers a complete financial snapshot by allowing all your bank accounts, credit cards, loans and investment accounts to be linked to one place.
Empower is best:
- Someone who wants to track their net worth without a spreadsheet.
- A budget guy wants to see where his money is heading.
- Investors who want to analyze fees and portfolio performance.
- People planning their retirement and looking for forecasts based on actual data.
Empower also offers Wealth Management Services, a paid financial advice service for users over $100,000 on investmentable assets. However, you don’t need to sign up to take advantage of the free tools.
I recommend reading: How to Save for Retirement – Answers to 13 of the Most Common Questions
How does empower help the average person?
“Is Empower useful if I’m not investing in a lot?”
The short answer is yes. Even if fiscal management is just beginning, empowering:
- Instead of checking multiple apps, you can track all your money in one place.
- Budgeting tools show you exactly where your money goes each month.
- You can better understand your cash flow – bring in how much you are spending.
- You can find hidden investment fees that can cost thousands over time.
- Resignation planners can help you set goals and see if you are on track.
Whether you’re trying to pay off your debt, invest smarter, or plan for retirement, Empower can help you understand your finances.
How does Empower work?
To start empowering, here are some things you need to do:
- Sign up for a free account on the Empower website.
- Link financial accounts, including checks, savings, credit cards, loans, investments, and more.
- Empower automatically pulls in financial data and classifies transactions.
- View your net worth, track your spending, analyze your investments, and analyze everything else from your personal dashboard.
One of my favorites at Empower is that it automatically updates your account daily. Therefore, you do not need to manually enter transactions like in a spreadsheet.
Main Tools Available with Empower
Below are the main tools available on the Empower platform:
1. Free financial dashboard
The dashboard is where all your financial information can be gathered. As you can see:
- Your Net Asset (Assets vs. Liabilities)
- Your cash flow (income and expenditure)
- Your investment balance and performance
- Tips on how to improve your finances
This is the best free network tracker I’ve found. I love seeing everything in one place.
I recommend reading: What is Net Worth? How to calculate net worth
2. Budget preparation and cash flow tracking
The free empower budgeting tool is not as detailed as other budgeting tools, but it’s great for looking at your spending overall.
- Automatically classify transactions
- I track my monthly cash flow so I know if you’re spending too much
- It shows how much you spend on different categories such as groceries, restaurants, shopping, etc.
3. Investment inspection
If you have an investment account, EMPOWER’s free investment testing tool can be useful for your analysis.
- How well your portfolio works
- Are they diversified appropriately?
- If the fee is too high
4. Resignation planner
One of Empower’s most interesting free tools is the Retirement Planner. It will help you:
- Check if you are on track for retirement based on your current savings rate.
- Test different scenarios (early retirement, increased savings, etc.).
- Plan major financial events such as buying a home or having children.
- There is even a simulator of a recession, so you can see how your retirement plans have been affected by the recession’s impact (e.g. 2008).
I think this is a great tool as it makes it easy to see how different actions affect you.
5. Retirement Analyzer
Many people don’t understand how much they lose to their investment fees. Free Empower Retirement Analyzer:
- It shows how much you are paying for your 401(k), IRA, and other retirement accounts.
- Calculate how fees affect your savings over time.
- If the price is too high, it will help you find a lower cost alternative.
This is an easy way to save thousands of dollars over time without making any major changes.
6. Empower Wealth Management (Paid Service)
Empower’s wealth management services target people over $100,000 in investmentable assets. If you choose to sign up, you will get:
- A dedicated financial advisor to help you develop your plans
- Resignation Planning Help
more.
This is expensive and depends on the balance.
I personally don’t use this service as I manage everything myself. And I like to save money this way instead of paying percentages (this will make a lot of money over a lifetime!).
If you want the free financial dashboard above and other tools, you don’t need to sign up for this service.
Also, if your Empower Dashboard lists over $100,000, you’re likely to receive a call from Empower asking if you want to sign up. Still, if you don’t need/need this service, you don’t need to sign up. You can say no to them.
Some people may find value in this service – it just depends on what you are looking for.
Pros and Cons of Empower
Below are the advantages and disadvantages of Empower:
Strong Points:
- Free to track net assets and spending
- Perfect for investing and retirement planning
- Helps you identify hidden fees for your investment
- Easy to use dashboard with useful images see how you do it
Cons:
- Empower’s financial advisors can reach out to you when linking assets of more than $10,000 (some people may find this annoying, but if you don’t want to sign up for this, you can simply tell them you’re not interested). I’m sure I’ve received two or three calls over the years, but not many.
- Budgeting tools aren’t as detailed as other apps.
- Some people may not be used to linking accounts.
How to start empowering
It’s easy to start empowering. only you:
- Sign up for a free account here.
- Link your financial account and take full money photos.
- Start tracking your net worth, spending and investments today!
Frequently Asked Questions about Empower
Below are the answers to general questions about empowerment.
Is Empower safe to use?
yes! Empower uses bank-level encryption and two-factor authentication to keep your data secure. They can’t move your money – they just keep track of it. I personally connected and added my info to the Empower dashboard, so I trust it.
Does Empower cost money?
The financial dashboard is 100% free. If you choose their asset management services, you will be charged a fee. I personally choose not to pay as I don’t use their asset management services.
Is Empower a good app?
Yes, it is one of the best free financial tracking tools available. Many users (including me) love it with net worth tracking and other features.
What are some common Empowered complaints?
Some users do not like Empire Advisors to contact upsell wealth management services if they link over $10,000. Also, those who want more budgeting tools may think it’s too basic when compared to tools like YNAB.
Was Empower once called Personal Capital? Why does it change?
yes! Empowered the personal capital acquired in 2020 and rebranded it under one name.
Is Empower worth it? My last thought
I hope you enjoyed my Empower review.
If you’re looking for a free and easy way to track your finances, you should give Empower a try. Even if you don’t have a large portfolio, budgeting, net worth tracking and retirement planning tools can be extremely useful.
Personally, I love being able to see all your finances in one place without having to manually enter the data. It’s a great tool to stay above your money and make smarter financial decisions.
To use Empower for free, click here.
Have you used Empower? Do you prefer to use Excel sheets to manage your finances, or do you think the tools are better?
Note: To protect my privacy, the images in this Empower review are not mine. They were all provided by Empower.
I recommend reading:
(TagStoTRASSLATE) Money Management (T) Resignation