Affordability pressures push Canadians to turn to budgeting tools

Kathy Le reports on how Canadians are using tools like budgeting apps to stretch their household budgets, even as inflation begins to cool.

As the cost of living continues to strain household budgets across Canada, more people are looking for ways to better manage their money — even as inflation begins to ease.

In Calgary, Christen Oram says the impact is felt most at the checkout.

“I’ve really noticed it at the supermarket,” she said.

“Everything has gone up. Insurance, house insurance, car insurance, gas prices.”

The financial pressure prompted Oram and her family to take a closer look at their finances and adopt stricter budgeting habits to stay on track, including using a budgeting app known as Waypoint Budget.

“We kind of got off track, and then with this environment, we really needed to become diligent,” she said.

“It almost feels like a second job trying to manage your money so you can make ends meet.”

Oram is among a growing number of Canadians turning to digital tools to help manage their finances.

Waypoint was created by Calgary-based software developers Ahmad Raza Jamal and Florencia Chomski, who say their own financial challenges inspired them to build it.

“We’ve built Waypoint Budget out of a personal need,” Chomski said.

“We came back from getting engaged in Italy, and we sat down to assess our goals — saving for a house, saving for the wedding — and it was quite a sobering realization. Our goals were a little bit further out than we thought.”

Jamal said the couple began by tracking their own spending more closely, searching for ways to cut costs and save more.

“Last year is when I really started to feel that whole impact,” he said.

“Costs were creeping up every month. We just never knew if we’d have enough for the next month.”

Both developers by trade, Jamal and Chomski combined their skills to create a tool they say is simple and accessible.

“We’re both software developers,” Chomski said.

“Jamal focuses more on the technical side, while I focus on user experience design.”

She added that many existing tools didn’t meet their needs.

“Some of the more popular ones on the market didn’t really fully fit. They were either too complicated or too simple.”

Since launching earlier this year, the app has seen steady growth, something the pair says reflects a broader need.

“Living costs are rising, wages are not keeping up,” Chomski said.

“We see a lot of Canadians are anxious about money.”

For those trying to regain control of their finances, Chomski says the first step is simple.

“Every time you make an expense, you have to write it down,” she said.

“Being disciplined for a month or two, just to see where you can cut back, is the perfect way to start.”

For Oram, sticking to a plan is already helping ease some of the stress and she remains optimistic everyday life will eventually become more affordable.

“I feel like we are going to turn around,” she said.

“I really hope so, especially for the younger generation coming up.”