AI-Powered Personal Finance Advisor

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056

Volume: 12 Issue: 12 | Dec 2025 www.irjet.net p-ISSN: 2395-0072

AI-Powered Personal Finance Advisor

Kubra F1 , Wabisa Nahid B2 , Hammad Khan S3 ,Krushi P4 1,2,3,4 Student, SG Balekundri Institute of Technology, Belagavi, Karnataka, India

Abstract – This research presents a smart web-based finance management application designed to make handling personal money easier and more comfortable for everyday users. The platform helps individuals record daily expenses, organize budgets, and make informed investment choices without unnecessary complexity. By examining income trends, spending behavior, and personal risk levels through intelligent data analysis techniques such as K-means clustering, the system delivers tailored financial insights and recommendations. It also connects to live market updates, including NIFTY 50 stock information, and displays expenses through a simple, interactive dashboard that is easy to follow. Developed using Python and stream lit the application promotes greater financial awareness and healthier spending habits. By automating financial evaluations, it reduces manual effort, saves time, and improves planning accuracy, providing a practical and user-friendly solution for everyday personal finance management.

1. INTRODUCTION

This study introduces a smart web-based application designed to make personal finance management simple and stressfree for users. The platform helps individuals record daily expenses, organize budgets, and make smarter investment choiceswithoutrequiringadvancedfinancialknowledge.Itexaminesincometrends,spending behavior,andpersonalrisk levels using data analysis techniques such as K-means clustering to offer customized financial insights. The system also connectsto live market updates,includingNIFTY50 stock information,and presentsexpense detailsthrough a clearand interactivedashboardthatiseasytofollow.DevelopedusingPythonandstreamlit,theapplicationemphasizeseaseofuse andefficiency,supportingbetterfinancialplanningandeverydaymoneymanagement.

Thesystemfurtherhelpsusersstayfinanciallydisciplinedbysendingalertsforbudgetlimits,billreminders,andfinancial goals. It regularly reviews financial activity and generates automatic Excel reports that summarize income, expenses, savings,andfuturesuggestions.Designed withsimplicity,reliability,andsecurityinmind,theplatformenablesreal-time financial tracking, intelligent analysis, and safe data handling through Flask-based APIs, making it a practical and dependabletoolforeverydaypersonalfinancemanagement.

1.1 Research Objectives

Themainobjectivesofthisresearchprojectare:

 To develop a cloud-based application that securely stores user financial details and personal data in an organized andeasilyretrievablemanner.

 To simplify personal money management by allowing users to record income and expenses online through a convenientdigitalinterface.

 To automatically analyze monthly spending patterns and identify users who exceed budget limits or fail to meet savingsgoals.

 To create a clean, responsive, and easy-to-use interface using modern web technologies that ensures a smooth, comfortable,andeffectiveexperienceforusers.

 Toprovidetimelyalerts,notifications,anddownloadable Excelreportstokeepusersinformedabouttheirfinancial statusandprogress.

1.2 Operational Modes

User-Facing Features

 Simpleanduser-friendlyonlineinputforincomeandexpensedetails

 Real-timenotificationsforbudgetlimitsandunusualspending

 Monthlysummariesshowingexpenses,savings,andoverallfinancialstatus

 AI-driveninsightstosupportsmarterfinancialdecision-making

 Optiontoaddpersonalnotesforirregularorspecialexpenses

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056

Volume: 12 Issue: 12 | Dec 2025 www.irjet.net p-ISSN: 2395-0072

Backend Features

 AI-drivenmonthlyanalysisofuserfinancialdata

 Securestorageandefficientdataprocessing

 Real-timealertsforbudgetsandreminders

 Secureclouddeploymentforreliableaccessanddataprotection

2 SYSTEM ARCHITECTURE AND METHODOLOGY

The personal finance adviser is built on a modern, cloud- based structure that smoothly connects the system’s internal processeswithwhatusersexperienceonthescreen.Throughasecurewebplatform,userscaneasilyenterincomedetails, trackdailyexpenses,andreceivepersonalizedfinancialguidancewithoutfacingtechnicalcomplexity.

Behindthescenes,thesystemhandlesessentialtaskssuchasvalidatinguserinputs,processingfinancialdata,andsecurely storinginformation.Userdetailsincludingincome,expenses,budgets,andfinancialgoalsaresafelymaintainedandupdated in real time whenever changes are made. The platform also sends timely alerts to inform users when they are nearing budgetlimitsormissingfinancialtargets.

Asmartanalyticalmodulecontinuouslyreviewsfinancialactivitytounderstandspendingpatterns,identify overspending, andevaluatesavingsprogress.Basedonthisanalysis,thesystemgeneratesclearsummaries,practicalrecommendations, anddetailedfinancialreportsthatcanbedownloadedinExcelformatforeasyreference.

TheapplicationinterfaceisdevelopedusingPythonandStreamlit,providingaclean,simple,anduser-friendlyexperience. Users can quickly view financial overviews, progress charts, insights, and reports with minimal effort. Seamless coordinationbetweenallsystemcomponentsensuresfastresponsetimes,accuratedatahandlingandareliableexperience acrossdifferentdevices.

System Architecture Overview

 Input Layer:

CollectsuserpersonalandfinancialdetailsAcceptsdailyincomeandexpenseentries

 Processing Layer:

AnalyzesspendingbehaviorIdentifiesbudgetdeviations

CalculatesfinancialsummariesandinsightsPreparesdataforreports

 Backend Layer:

Managessystemoperationsusingserver-sidelogicStoresandsecuresallfinancialdatainthedatabase

 Frontend Layer:

Providesasimpleanduser-friendlywebinterfaceUsesJavaScripttodisplayreal-timefinancialupdates

 Data Flow:

Usersenterincomedetails,expenses,orfinancialgoalsthroughthewebapplication.

Thebackendprocessestheinputandsecurelystoresitinthedatabase.

The system analyzes financial data and updatesinsights,alerts,andreportinformation.

The frontend displays updated summaries,recommendations,anddownloadablereportstousers.

2.1 Dataset Preparation

The dataset used for the AI Powered Personal Finance Adviser was prepared to represent real-world personal financial activities of users. Financial records were created using essential details such as user profiles, income sources, expense categories,paymentdates,andbudgetlimits.Transactionswererecordedacrossdifferentexpensetypessothatthesystem couldclearlyidentifyspendingbehaviorandfinancialpatterns.

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056

Volume: 12 Issue: 12 | Dec 2025 www.irjet.net p-ISSN: 2395-0072

To ensure realistic usage scenarios, data entries were collected overmultiplemonths,reflectingvariedincome levels and spending habits. Each record was carefully reviewed, cleaned, and standardized so that dates, amounts, categories, and user identifiers followed a consistent format. This consistency helps the system accurately analyze trends and generate meaningfulfinancialinsights.

Financial data was thenorganized into daily transaction logs, monthly expense summaries, savings evaluations, andfinal advisoryreportdetails.Thisstructureddatasetpreparationenablesthesystemtoproducereliableoutputs, generateclear Excel-basedfinancialreports,andsupportfeaturessuchasautomatedalertsandpersonalizedfinancialrecommendations forusers

2.2 Software Implementation

 Backend Logic

The backend component manages the core functionality of the system, including validating user inputs, processing financial transactions, and analyzing spending data. It performs calculations related to monthly expenses, savings summaries, and AI-based financial insights. The backend also generates downloadable Excel reports and triggers notificationswheneverimportantfinancialupdatesneedtobecommunicatedtotheuser.

 Database Management

Thedatabasestoresallstructuredfinancialinformationrequiredbythesystem,suchasuserprofiles,incomedetails, expense records, budgetsettings,andfinancialhistory.Dataisorganizedina well-structuredandoptimized format, enablingquickretrievalandsecureupdateswhilemaintainingdataintegrity.

 Notification Service

This module is responsible for sending automated alerts andreminderstousers.Notificationsareused to inform users about budget limits, unusual spending, monthly summaries, and report availability. This service ensures timelycommunicationandhelpsusersstayawareoftheirfinancialstatusthroughouttheusageperiod.

3. RESULTS AND PERFORMANCE ANALYSIS

The Personal Finance Advisor was tested across all its major features, and the evaluation showed that it ran efficiently, respondedaccurately,andfeltintuitiveforuserstryingtomanagetheirmoney.Ithandledessentialtaskssuchasrecording expenses, planning savings goals, offering investment knowledge, and displaying financial summaries in a clean and organized interface. Users could quickly add daily spending by choosing a category and entering an amount in a simple form.Each new entry was immediately added to the monthly overview, helping users track spending in real time. Input validationpreventedwrongentrieslikezeroamounts,whichkeptthestoreddatameaningfulandaccurate.

The main dashboard used visual elements such as piechartsandbargraphstopresentspendingtrendsclearly.Expenses for food, rent, shopping, entertainment, and other areas were automatically calculated and shown to the user. These graphicshelpedpeopleunderstandtheirspendingbehaviorandmadefinancialanalysismoreengagingforyoungerusers. Savings goals were another strong feature. Users could create goals, set deadlines, and monitor progress through tables and progress indicators. Whether someone was saving for a birthday celebration or an international trip, the system calculatedmonthlycontributionsandprojectedsavings,givingaclearroadmapforreachingthegoal.

The account balance section displayed both monthly and historical records of income, expenses, and total savings. Charts and tables made it easy to compareresults between months, and running balances wereupdated accurately. Even when multiple entries andcalculations weremade, thesystem-maintainedconsistency andcorrectness.

Performance testingconfirmedthattheplatformransmoothlyunderregularuse. Pages opened quickly, and switching between modules like budgeting tools, savings trackers, and investment education felt responsive. The backend processed data inputs without lag, demonstratingreadiness for real-world usage. User feedback waspositive.The layoutwaseasyto navigate, anduserscouldcompletecommontaskslikelogging expenses, tracking savings progress,or

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056

Volume: 12 Issue: 12 | Dec 2025 www.irjet.net p-ISSN: 2395-0072

learning basic investment concepts without confusion. The built-in advice feature added a personalized touch, allowing users to ask financial questions and receive helpful suggestions in a friendly tone. Overall, the Personal Finance Advisor provedtobeareliableandpracticalsolution.Itsaccuratecalculations,liveupdates,anduser-friendlydesignmakeitsuitable forhelpingpeople,especiallyyoungadults,buildhealthyfinancialhabitsandgainconfidenceinmanagingtheirmoney.

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056

Volume: 12 Issue: 12 | Dec 2025 www.irjet.net p-ISSN: 2395-0072

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056

Volume: 12 Issue: 12 | Dec 2025 www.irjet.net p-ISSN: 2395-0072

GoalProgressOverview

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056

Volume: 12 Issue: 12 | Dec 2025 www.irjet.net p-ISSN: 2395-0072

4.CONCLUSIONS

The AI Powered Personal Finance Adviser demonstrates how intelligent technology can simplify personal financial management and improve decision-making for users. By combining a structured backend system with an intuitive and user-friendly interface, the application enables users to efficiently track income, monitor expenses, and understand their spendingbehavior.TheintegrationofAI-basedanalysishelpsusersgainmeaningfulinsightsandencourages bettersaving habits.

The system effectively conducts regular financial assessments, detects deviations from planned budgets, and produces detailed reports that highlight income, expenses, and overall financial trends. Automated alerts and notifications keep users updated on their financial condition, spending limits, and the availability of reports. Additionally, the option to generateExcel-basedreportssupportsbetterfinancialplanningandorganizedrecordmanagement.

Oneofthekeystrengthsofthesystemliesinitsflexibleandscalablearchitecture,whichallowsforeasyfutureexpansion. The design supports potential enhancements such as mobile application compatibility, more advanced AI models for personalized investment guidance, and integration with banking APIs. Throughout testing, the system demonstrated strong stability, accurate performance, and a user-friendly interface. Overall, the AI-powered personal finance advisor offers a dependable, efficient, and modern approach to managing personal finances in a more organized and intelligent manner.

REFERENCES

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[2] S. Shafiee, L. L. Zhang, and K. M. Rasmussen, “Improving Financial Literacy and Supporting Financial Decisions: Developinga PersonalizedConfigurator,”Journal ofthe Knowledge Economy, 2024. DOI: 10.1007/s13132-02301651-9.

[3] LiteracyandManagement,”2024.

[4] G. Huang, X. Zhou, and Q. Song, “Deep Reinforcement LearningforPortfolioManagement,”arXivpreprint arXiv:2012.13773,2020.

[5] H. Wang and S. Yu, “Robo-Advising: EnhancingInvestmentwithInverseOptimizationand Deep Reinforcement Learning,” arXiv preprintarXiv:2105.09264,2021.

[6]H. Yang et al., “FinRobot: An Open-Source AI AgentPlatformforFinancialApplicationsUsingLargeLanguage Models,”arXivpreprint,2024.

[7] Y. Xie, “The Design and Implementation of a Personal Finance Management System BasedonAndroid,”Atlantis Press,2016.

International Research Journal of Engineering and Technology (IRJET) e-ISSN: 2395-0056

Volume: 12 Issue: 12 | Dec 2025 www.irjet.net p-ISSN: 2395-0072

[8] “ArtificialIntelligenceandItsApplicationsinFinance,”inProceedingsofthe11thV.Agarwaletal.,“AnAI-Powered PersonalFinanceAssistant:EnhancingFinancialInternational Conference on E-Education, E-Business, EManagement,andE-Learning(IC4E),ACM,2020.DOI:10.1145/3377571.3379441.

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BIOGRAPHIES

Kubra Firdous a final-year Computer Science and Business System student. She is currently pursuing her degree at SG BalekundriInstituteofTechnology.

Wabisa Nahid Balekundri is a final-year Computer Science and Business System student. She is currently pursuing her degreeatSGBalekundriInstituteofTechnology.

HammadKhanSanjeriisafinal-yearComputerScienceandBusinessSystemstudent.Heiscurrentlypursuinghisdegreeat SGBalekundriInstituteofTechnology.

KrushiPayannavarisafinal-yearComputerScienceandBusinessSystem student.HeiscurrentlypursuinghisdegreeatSG BalekundriInstituteofTechnology.