How to Develop an AI Financial Planning Assistant App?

Financial planning and expense control are hectic and time-consuming processes that require manual data management, calculations, and the formulation of long-term plans. However, with technological advancements, the financial planning landscape is significantly transforming. AI-powered personal finance assistant tools are rapidly increasing, streamlining these processes and making them more efficient.

According to reports, the market size of these finance apps is expected to grow by 11.2% by 2028. Therefore, if you plan to develop an AI financial planning assistant app, this blog will benefit you as it explains its benefits, key features, cost, monetization, etc. So, let us start reading it now!

Reasons to Build AI Financial Planning Tools

The following are the compelling reasons for building AI financial planning tools. Check them out now!

1. Predictive Analytics

The AI-powered tools and modules analyze various reports, news articles, etc, to evaluate and understand financial analyses and emerging trends, allowing users to make informed decisions for positive investment outcomes.

2. Personalized Financial Recommendations

The AI-powered algorithms and machine learning modules examine users' financial goals, details, and risks and analyze market trends to create personalized investment plans. It uses sophisticated algorithms to provide tailored financial advice to users to make informed decisions for a stress-free financial future.

3. Risk Assessment and Debt Management

AI-powered finance planner app monitors user financial data, investment strategies, and market conditions, providing detailed risk profiles and allowing users to develop strong investment strategies.

4. Regulatory and Compliance Adherence

An AI financial planning assistant meticulously analyzes regulatory compliance and monitors transactions to detect suspicious activities. It helps mitigate penalty risks or legal repercussions, enhancing financial planning effectiveness.

Key Functionalities to Add While AI Financial Planner App Development

To develop a personal AI financial advisor app, a list of alluring features is crucial to define its functionality and bring benefits to the user.

For Admin

User Management

The app uses a role-based access control mechanism to give admins a visual overview of user engagement, system logs, and financial activity. Admins can also approve or deny user registrations to ensure secure app performance.

Financial Analytics and Reporting

The app allows the admin to visualize financial trends across different user demographics using data analysis and reporting tools like Google Data Studio or custom-built reporting tools. It also provides data-driven insights on app usage to enhance user experience and optimize AI recommendations.

Fraud Detection & Security Monitoring

The application implements multi-factor authentication and uses an anomaly detection strategy to monitor transactions and user behavior. This helps identify unauthorized logins, enabling the administrator to deactivate fraudulent accounts.

For User

User Registration/ Log-in

OAuth 2.0 and two-factor authentication(2FA) allows users to securely log in to their accounts within the app using their phone number, email, or social media account.

Detailed User Profile

The user can create a comprehensive profile to save financial details and basic information and track spending habits.

Expense Tracking

The app tracks and aggregates all user transactions into categories like groceries, entertainment, etc, to avoid financial stress.

Budget Customization

The user can create and customize their financial budget based on income and expenses to take control of their spending and prioritize savings.

Personalized Budget Assistant

The Natural Language Processing and machine learning modules analyze users' spending behavior and provide personalized recommendations to reduce unnecessary expenses.

Setting Financial Goals

The app lets users set short-term and long-term Smart financial goals and send periodic progress reports and recommendations to meet their goals faster.

Timely Notifications and Alerts

The app uses push notifications to share real-time alerts about upcoming bills, budget limits, and low balances, helping users avoid financial pitfalls.

Integration with Bank Accounts

API integrations like Plaid and Yodlee help users integrate their bank accounts and access balances, transactions, and payment histories from within the app.

Content Management Tools

The integrated LMS or CMS systems help create and deliver financial management education material such as articles, videos, and quizzes to empower users with financial knowledge.

AI-Based Functionalities of Personal AI Financial Advisor App

The AI-powered AI financial advisor app includes the advanced integrations below, which enhance its functionality. Check it out now.!

1. Biometric Authentication

The financial app allows the user to connect the application with the user's bank account and credit cards. Therefore, it becomes crucial to ensure that no user data is lost. This is where Artificial intelligence comes into play. Biometric authentication technology helps keep the complete process secure. It can be integrated into fingerprint identification, voice verification, facial recognition, iris scanning, etc.

2. Receipt Scanning

The manual data entry process is time-consuming and susceptible to human errors. To address this issue, the application includes an innovative receipt scanning feature that utilizes optical character recognition (OCR) technology. This feature incorporates advanced artificial intelligence and machine learning modules to scan and recognize receipt content. Before adding it to the expense report, it extracts relevant information and categorizes the data according to specific system fields, such as amount, text, or date.

3. Analyze trends to Detect abnormalities

If you wish to start a SaaS-based business model, then AI personal financial app development benefits you. It analyses the trends in your data or finances, detects any anomalies, and notifies the admin to get it fixed sooner.

4. Conversational AI Engine

Artificial intelligence is an advanced tool that transforms software into personal financial assistance that generates human-like responses. Integrating a properly trained conversational AI engine makes it easier for users to interact with it and increases engagement. We integrate Natural Language technology to ensure smooth customer and application communication. Instead of searching for information, the user can simply ask their query through typing or voice message. For example, Suppose users want to know their credit card balance. In that case, they can simply ask for it through voice message and get an instant reply, enhancing user experience and business reputation.

Tech Stack Used to Develop a Personal AI Financial Advisor App

The right tech stack decides the functionality and performance of an application. Below is the tech stack we use to develop a robust personal AI financial advisor app.

AI Personal Financial Planning Assistant Development Steps

Developing an AI personal financial planning assistant requires a meticulous approach, dedicated time, and high-level development skills. Below is the step-by-step procedure for its development.

1. Conduct Comprehensive Market Research

In the first step, define the purpose of developing the application and conduct thorough market research to identify the target audience and their requirements. Identify your competitors and check what they are providing that people like and what you can provide in your application to lead ahead in the market.

2. Hire Proficient Web Development Company

It is quite impossible to develop an AI personal financial planning assistant without hiring an experienced team of developers. Contact a prominent web or mobile app development company and share your ideas. The team will wireframe the application based on the client's requirements.

3. Define Features and Functionalities

In this step, the development team asks about the features and functionalities the client wants to include in the application. They also suggest which third-party services or advanced integrations can enhance the application's functionalities to enhance user experience and bring profits to the client’s business.

4. Choose the Ideal Tech Stack

The technologies or tools used in developing AI Financial Planner are crucial as they determine the application's scalability, cost, and performance. In this step, the development team defines which databases, programming languages, APIs, deployment platforms, etc., will be used. They decide on the tech stack based on industry-based needs, the app's purpose, and the target audience's requirements.

5. AI Algorithm Designing

In this step, the development team develops machine learning models and trains them for features like investment suggestions, risk evaluation, etc. Later, they test each model to ensure its proper accuracy and efficiency. Additionally, the team anonymizes and compiles the data according to all privacy regulations.

6. Designing User Interface and User Experience

Users always expect an easy-to-navigate and visually attractive app interface. Therefore, the design team works to make the app appealing and responsive. They add consistent color schemes, animations, and precise icon placements to make the application easier for users to relate to and improve their overall experience.

7. Testing and Verification

Testing and verification are some of the most crucial steps in developing AI personal financial assistant applications. Here, the Q&A team checks each component and feature of the application through different operating systems to identify any glitches and bugs. If the team identifies any errors, they conduct malware operations to fix them and ensure the app runs smoothly.

8. Deployment and Launching

Finally, when the app is developed and tested, the financial software development team launches the app at the dedicated servers for public use. Even after deployment, the team keeps a close eye on the application's performance and collects user feedback. If they find any issue or the app needs any further maintenance, the team will make close improvements according to the market needs.

AI Financial Planner Development Cost

Although developing an AI personal financial application has multiple advantages, paying attention to its development cost is crucial. The average development cost of an AI finance planner app is $15,000 to $20,000 However, below are some key factors that affect its overall development cost.

Complexity of application

The complexity of the application is the prime factor determining its development cost. An AI financial planning assistant app with basic budgeting and expense tracking features takes less time and cost than one with more advanced features. Integrating features like biometric authentication and real-time bill alerts takes more research and development time, which increases its overall development cost. The more pioneering you build, the more you have to pay for it.

Complexities in Designing

Next is the application’s design, which affects its total development cost. Designing a visually attractive interface with precise icon placement and multiple animations that grab user attention but take more cost to develop. Additionally, customization of the application, such as logo design, color palette, and typography according to the brand, adds to its design cost. However, a simple app with basic elements and a simple design takes minimal time to create, which makes its development cost less.

Launching Platform

AI Financial Planner app development for a native platform using codes like Swift or Java requires two codebases for iOS and Android, which increases its development cost. However, cross-platform apps are compatible with multiple operating systems, and developers can reuse the code, making them a more cost-effective option.

Third-Party Integrations

Although integrating third-party services like payment gateways enhances the app's functionality, the complexities involved in the technical integration require additional resources and development hours. For example, Integrating AI power modules or NLP chatbots requires third-party services like Google Cloud AI or OpenAI, which require regular training and increase the overall development cost.

The Expertise of the Development Team

An experienced team of developers and designers with versatile capabilities and market knowledge helps Build AI Financial Planning Tools. Hiring a proficient finance app or software development company with proven records of delivering excellent AI financial planning assistant

solutions may have higher charges, but their expertise and agile approach provide worthwhile solutions.

Data Storage and Maintenance

Data security and storage are crucial factors in developing an AI finance app, and cloud hosting services like AWS or Azure increase storage volume and computing power. Still, they may require regular operating costs, which scale up the development cost.

Monetization Strategies for AI Financial Planning Assistant

There are multiple ways to earn revenue from AI financial planning assistant apps, some of which are below.

Freemium model

In this model, the admin offers a basic version of the app for free and charges for premium features, such as personalized financial advice or budgeting tools, through subscriptions or one-time payments.

Subscription-based model

The admin charges the user a recurring fee monthly or annually to access full features like reporting, personalized adviser, etc.

In-App Advertisement

Display non-intrusive ads of sponsored financial content within the app and generate immersive revenue.

Why Choose Suffescom to Build AI Financial Planning Tools?

Suffescom is a team of AI dedicated developers, designers, and testers with 13+ years of industrial experience. Our experts are knowledgeable about the latest technologies and prioritize clients' needs to deliver satisfactory solutions. Partner with Suffescom to enhance your financial management experience.

FAQs

Can AI Personal Financial Planning Assistant Development help in debt management?

Yes, these AI-powered tools provide accurate risk assessment and repayment options, allowing users to manage their debts.

How much does it cost to Develop a Personal AI Financial Advisor?

The average development cost of an AI personal financial advisor is $15,000 to $20,000 However, the values can increase or decrease according to the features, launching platforms, app complexity, etc.

What key factors should be considered while developing the AI Financial Planner?

The key factors to consider when developing an AI financial planner app are below.

• Data Security and Privacy
• Integration with Third-Party services or Financial Institutions
• Advanced Algorithm’s accuracy

Do AI financial Planning apps adapt to modern changes in the financial market?

Yes. AI financial planning apps stay informed about market trends and conditions so they can adjust their algorithms accordingly.

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