Best App for Sinking Fund in 2025: Your Smart Savings Assistant
Are you trying to plan your finances better and avoid last-minute money stress? Want to buy a new phone, go on vacation, or pay for annual insurance without breaking the bank? Then it’s time to set up a sinking fund—a game-changer in personal financial planning. But to make it effective, you’ll need a reliable app to track and grow your fund seamlessly.
In this blog post, we’ll explore the best apps for managing a sinking fund in 2025, how they work, who should use them, and how they differ from emergency funds. Plus, we’ll link you to expert financial resources from Businesses Column and their detailed article on Sinking Fund vs Emergency Fund.
💡 What Is a Sinking Fund?
A sinking fund is a pool of money you save gradually over time to cover a future planned expense. Unlike an emergency fund (which is for unexpected events), sinking funds are purpose-driven. You know exactly what you’re saving for, when you’ll need it, and approximately how much you’ll require.
🔁 Examples of Sinking Funds:
- Car maintenance
- Festival shopping (e.g., Diwali, Christmas)
- Insurance premiums
- Child’s school fees
- New gadget or appliance
- Wedding expenses
- Yearly subscriptions (Netflix, Amazon Prime, etc.)
For a better understanding of the concept and how it compares with emergency savings, visit:
👉 Sinking Fund vs Emergency Fund
🚀 Why Use an App for Sinking Funds?
Manual tracking with spreadsheets or notebooks works—but it’s not ideal in today’s fast-paced, mobile-first world. An app can automate, track, and optimize your savings effortlessly.
🔍 Key Features to Look for in a Sinking Fund App:
- Ability to create multiple fund goals
- Custom deadlines and target amounts
- Integration with bank accounts or wallets
- Spending and saving insights
- Visual progress trackers
- Auto-save or recurring deposit functionality
- User-friendly interface
🏆 Best Apps for Sinking Fund in 2025 (India + Global Users)
Let’s now review the top-rated sinking fund apps for Indian and international users based on features, user ratings, and ease of use.
1. Fi Money (India)
Platform: Android & iOS
Best For: Indian millennials looking to automate goal-based savings
Key Features:
- Create “Jars” for multiple saving goals (aka sinking funds)
- Auto-save with rules like “Save ₹10 every time I spend on Swiggy”
- Set target amount and deadline
- Integrated with savings account
- Backed by Federal Bank (safe & regulated)
Pros:
✅ Slick UI
✅ Smart goal planning
✅ Zero-fee savings account
✅ No minimum balance
Cons:
❌ Limited investment options beyond savings
Verdict:
Perfect for young earners looking to save systematically for small-to-mid-term goals.
2. Jar App (India)
Platform: Android & iOS
Best For: Micro-saving via round-ups + investing in digital gold
Key Features:
- Auto-save your spare change into digital gold
- Set up specific goals with amounts and timelines
- Visual progress bar and reminders
- Gold is 100% insured and redeemable
Pros:
✅ Highly automated
✅ No manual input needed
✅ Secure & regulated
Cons:
❌ Gold-focused only
❌ No FD or mutual fund options
Verdict:
Ideal if you’re new to saving and want low-risk, asset-backed micro-investments.
3. Goalwise (Now ET Money Genius)
Platform: Android & iOS
Best For: Goal-based mutual fund investing (including sinking funds)
Key Features:
- Create multiple goals like travel, gadgets, insurance, etc.
- Recommendations for low-risk mutual funds
- SIPs, lump sum, and auto-invest options
- Tax-saving suggestions
Pros:
✅ Professional planning assistance
✅ Better growth than regular savings accounts
✅ Trusted brand (Times Internet)
Cons:
❌ Market-linked returns (volatility involved)
❌ May not suit very short-term goals (<6 months)
Verdict:
Great for mid-to-long-term sinking funds with higher returns.
4. CRED Mint (India)
Platform: Android & iOS
Best For: Users looking for safe high-interest earnings while saving
Key Features:
- Earn up to 9.25% interest by lending to other CRED members
- Withdraw anytime (after lock-in)
- Linked to bank accounts
- Set saving goals
Pros:
✅ Higher returns than FD
✅ Flexible terms
✅ Trusted platform
Cons:
❌ Available only to CRED users with good credit
❌ Not designed specifically for multiple sinking funds
Verdict:
Good if you want your sinking fund to grow passively at a decent rate.
5. YNAB (You Need A Budget – Global)
Platform: Android, iOS, Web
Best For: Budget nerds and detailed planners
Key Features:
- Create sinking funds for multiple life events
- Assign every rupee a job
- Forecast expenses and manage debts
- Highly customizable
Pros:
✅ Best-in-class sinking fund management
✅ Advanced reporting
✅ Community support
Cons:
❌ Paid subscription ($14.99/month or $99/year)
❌ Complex UI for beginners
Verdict:
Best for global users or Indians working abroad managing complex budgets.
6. Money Manager (Monefy, Wallet, or Walnut – India)
Platform: Android, iOS
Best For: General expense + savings tracking
Key Features:
- Track expenses + savings in categories
- Manually create savings buckets
- Set reminders, export reports
- Custom labels for sinking funds
Pros:
✅ Lightweight apps
✅ Free plans available
✅ Highly visual
Cons:
❌ No direct saving or investing features
❌ Manual updates required
Verdict:
Good for those who want simplicity without linking bank accounts.
🧮 How to Set Up a Sinking Fund in an App (Step-by-Step)
- Choose a Sinking Fund App: Based on your needs, select one from the list above.
- Create Fund Buckets: Label them clearly (e.g., “Vacation Fund”, “School Fees”, “Laptop Upgrade”)
- Set Target Amount & Deadline: This will calculate the amount you need to save monthly/weekly
- Enable Auto-Save or Set Reminders: Automate savings through UPI, debit card, or bank transfer
- Track Progress Monthly: Check the app dashboard to ensure you’re on track
💰 How Much Should You Save in Your Sinking Fund?
Use this formula:
(Target Amount – Current Savings) ÷ Months Left = Monthly Saving Needed
Example:
You need ₹30,000 for car service in 6 months.
Current savings: ₹5,000
→ (30,000 – 5,000) ÷ 6 = ₹4,166/month
Apps like Fi or ET Money calculate this automatically.
🧠 Sinking Fund vs Emergency Fund – Key Differences
| Feature | Sinking Fund | Emergency Fund |
| Purpose | Planned expenses | Unplanned emergencies |
| Frequency | Recurring or one-time | Unpredictable |
| Amount | Goal-based | 3–6 months of expenses |
| Liquidity | Medium | High |
| Risk Level | Low/None | Very low |
🛡️ Safety Tips While Using Sinking Fund Apps
- Use UPI/Bank integration only on RBI-regulated apps
- Enable 2FA or biometric login
- Avoid apps that request too many permissions
- Keep a manual backup of goals and balances
- Check app ratings and reviews before installing
🔚 Final Thoughts: Choose the Best App That Fits Your Style
Creating a sinking fund is one of the smartest financial habits you can build. Whether it’s saving for your annual insurance premium or planning a dream vacation, the right app can make the process easy, fun, and rewarding.
Whether you prefer automation (Fi, Jar), growth (ET Money), or detail-oriented planning (YNAB), there’s an app out there for you.
For more financial planning tips, investment guides, and app recommendations, explore Businesses Column—your trusted source for smart money moves.
