Let me be honest with you. I have tried way too many budgeting apps over the years. Some were too complicated. Others felt like homework. But two apps kept showing up in every list of good budgeting apps or apps like YNAB that I came across: YNAB and Goodbudget.
So I decided to dig deep into both. What I found surprised me. Yes, they both use the envelope budgeting method. But that's basically where the similarities end. One is like driving a luxury car with every possible feature. The other is more like a reliable bicycle that gets you where you need to go without the fuss.
Let me walk you through everything I learned so you can skip the trial-and-error phase I went through.
Getting to Know YNAB
YNAB stands for You Need A Budget, and it’s one of the most popular you need a budget software tools on the market." Not the most creative name, right? Jesse Mecham created it back in 2004 when he was in grad school studying accounting. He needed something to help him and his wife manage their money better, so he built a spreadsheet. That spreadsheet turned into what YNAB is today.
Here's how it works. You give every single dollar a job before you spend it. Sounds simple, but there's actually a whole philosophy behind it. YNAB teaches you to use its signature YNAB zero-based budget method, which means your income minus your expenses should equal zero because you have assigned every dollar somewhere.
👉 Want to simplify your monthly money plan? Check out our guide on how the 50/30/20 budgeting rule reduces money stress.
The YNAB cost per year is $109 if you pay annually. Monthly? That’s the YNAB cost per month, which comes to $14.99. Not exactly cheap for a budgeting app. But YNAB users swear by it. They say it pays for itself within the first month.
What About Goodbudget?
Goodbudget takes a different approach completely, and many people search for a Goodbudget review before deciding if it fits their style. Remember when people used to put cash in physical envelopes for different spending categories? Goodbudget does that, but digitally. You create virtual envelopes inside the Goodbudget budget planner for groceries, gas, entertainment, whatever you need. When the envelope is empty, you stop spending in that category.
Pretty straightforward, isn't it?
The best part? Goodbudget has a free version. Like, actually free forever. Not a trial that ends after two weeks and asks for your credit card. If you want more features, Premium costs $10 monthly or $80 yearly. That's way less than YNAB.
How They Handle Your Money Differently
This is where things get interesting.
YNAB built their whole system around four rules. Rule one says give every dollar a job. Rule two teaches you to plan for YNAB true expenses, breaking big costs into realistic monthly chunks. Rule three means adjust your budget when life happens (and it will). Rule four is about building a cushion so you are not living paycheck to paycheck anymore.
These aren't just random tips. YNAB designed their entire app around making you follow these rules. Some people love this structure. Others find it bossy.
Goodbudget keeps things simpler. You decide how much money goes into each envelope at the start of the month. Then you spend from those envelopes throughout the month. When an envelope hits zero, you are done spending there until next month. That's it. No complicated philosophy to memorize.
I'll admit something here. YNAB's method is probably more effective for serious financial change. But Goodbudget's simplicity means you are more likely to actually stick with it.
Connecting Your Bank Accounts
YNAB connects directly to your bank. Transactions download automatically. ou wake up, open the YNAB web app, and yesterday’s transactions are already imported. Yesterday's coffee purchase is already sitting there waiting for you to categorize it. Super convenient.
Goodbudget? The free version doesn't connect to your bank at all. You type in every single transaction manually. Yes, seriously. Premium members get automatic syncing, but even then, the app really wants you to enter things manually. The developers think it makes you more aware of your spending.
Are they right? Maybe. Typing in that $6 latte definitely makes you think twice about buying another one tomorrow. But it's also kind of annoying when you are busy.
What You Can Actually Do With Each App
Let's talk features because this matters.
The YNAB budget app gives you unlimited categories, accounts, and goal setups. Unlimited accounts, unlimited categories, unlimited goals. You can track your checking account, savings account, credit cards, investment accounts, your kid's piggy bank if you want. The app handles it all without breaking a sweat.
The reports are incredible too. You get graphs showing spending trends, net worth calculations, how old your money is (weird metric, but actually useful), and breakdowns by category. If you are a data nerd, you will love this stuff.
Goodbudget's free version limits you to one account and 10 regular + 10 annual = total 20. For many people, that's actually enough. But if you have got multiple bank accounts or complicated finances, you will need Premium. That gets you unlimited envelopes and up to five accounts.
The reporting is basic. You can see how much you spent in each envelope and some simple trends over time. Nothing fancy, but it covers the essentials.
Setting Goals and Paying Off Debt
Both apps help you set goals, but YNAB takes it way further.
Want to save $5,000 for a vacation by next June? YNAB calculates exactly how much you need to set aside each month. Paying off a credit card? It will tell you when you will be debt-free based on your payment amounts. The goal features are legitimately impressive.
👉 If you're focusing on wiping out debt, here’s how to use Dave Ramsey’s Credit Card Payoff Calculator step-by-step.
Goodbudget lets you set goals too. You can create savings envelopes and debt payoff plans. But the app doesn't do the math for you or give you fancy progress tracking. You have to figure out the numbers yourself.
The Price Situation
Money talks, so let's talk about money.
YNAB costs $109 per year. Over five years, you are looking at $545. That's assuming you pay annually, which saves you money compared to the monthly option. Anyone can sign up for YNAB with a 34-day free trial without needing a credit card. College students get a whole year free through the YNAB student discount, which is pretty generous.
Here's a neat thing though. You can share one YNAB subscription with up to six people. So if you have got a big family or want to split it with friends, the per-person cost drops significantly.
👉 If you're comparing budgeting with long-term investing, explore how Dave Ramsey’s Investment Calculator works in our step-by-step guide.
Goodbudget's free version works forever. No catches. If you want Premium, it's $80 yearly. That's $400 over five years compared to YNAB's $545. The difference isn't huge, but $145 is still $145.
Actually Using These Apps
I'm going to level with you. YNAB has a learning curve. Not a gentle slope either. More like a wall you have to climb. The first week, you will probably feel confused and frustrated. There are so many features and settings and categories to set up.
But YNAB knows this. That's why they offer free workshops literally every single day. Live classes with real instructors who answer your questions. The company also has tons of articles, videos, and an active community forum. If you are willing to invest the time, YNAB will teach you everything about budgeting.
Goodbudget is easier to figure out. You can jump in and start budgeting within 10 minutes. The interface makes sense without needing a tutorial. They have some educational content too, but nowhere near YNAB's massive library.
App ratings tell an interesting story. YNAB gets 4.8 stars on the App Store and 4.7 on Google Play. Goodbudget sits at 4.6 stars on iOS but only 3.5 on Android, where people complain about syncing problems.
Getting Help When You are Stuck
YNAB's customer support is excellent. You can chat with someone, join live workshops, or search their help articles. The community forum is really active too, so usually someone's already answered your question.
Goodbudget relies mainly on email support and their FAQ section. It works fine for basic questions, but you are not getting the white-glove treatment YNAB provides.
Both apps take security seriously. Two-factor authentication, encryption, the works. YNAB probably has slightly better security measures overall, but Goodbudget isn't leaving your data vulnerable either.
The Good and Bad of Each
Let me break down what I genuinely like and dislike about both apps.
YNAB's strengths are clear. The features are comprehensive. The automatic syncing saves time. The educational content is top-notch. If you use it properly, YNAB can completely transform how you handle money. People in the YNAB community talk about it like it changed their lives.
But YNAB has real downsides. It's expensive for a budgeting app. You have to use it regularly or you are wasting your money. The learning curve intimidates plenty of people into quitting before they really get started.
Goodbudget's big advantage is accessibility. The free version is actually useful, not just a teaser. It's simple enough that anyone can figure it out. Great for couples who want to budget together. The manual entry thing actually does make you more mindful about spending.
The problems with Goodbudget? Manual entry takes time and discipline. The features are limited compared to YNAB. If you have got complicated finances, you will quickly bump into the app's limitations. Some Android users report technical issues.
So Which One Should You Actually Pick?
Here's my take after researching both extensively.
Go with YNAB if you are serious about using a powerful you need a budget app that helps you take full control of your finances. If $109 a year doesn't stress you out. If you want all the features and don't mind learning a more complex system. If you are trying to break out of living paycheck to paycheck and need something powerful enough to help you do that.
YNAB is for people who want to geek out on their finances. Who check their budget daily. Who love data and reports and tracking every detail. It's an investment, but many users say it's worth every penny.
Pick Goodbudget if you want something simple that just works. If you are on a tight budget yourself and can't justify paying for an app. If you are new to budgeting and need to start somewhere easy. If you like the idea of manual entry keeping you accountable.
Goodbudget is perfect for people who don't want budgeting to become a part-time job. Who need basic features that cover the essentials without overwhelming them. Who maybe want to budget with their spouse or partner.
My Final Thoughts
Look, both of these apps work. They really do. I've seen people succeed with YNAB. I've seen people succeed with Goodbudget. The best budgeting app isn't the most expensive one or the one with the most features.
It's the one you will actually open and use every week.
YNAB demands more from you. More money, more time, more mental energy. But it gives you more in return. More features, more support, more potential for serious financial transformation.
Goodbudget asks less of you in every way. Less money, less complexity, less time commitment. You get less too, but that's not necessarily bad. Sometimes less is exactly what you need.
My suggestion? Start with Goodbudget's free version. Use it for a month. If you find yourself wishing it did more, try YNAB's free trial. See which approach feels sustainable for your life and your budget.
The hardest part of budgeting isn't picking the right app. It's starting in the first place and then sticking with it. Both YNAB and Goodbudget can help you do that. You just need to pick one and begin.
Your bank account will thank you either way