How does Digit determine how much to save for me?

Digit uses a sophisticated algorithm to determine how much money to save for users based on their spending habits, income, and financial goals. Initially, when users connect their bank accounts and set up their preferences, Digit analyzes their transaction history to understand their income patterns and typical spending behavior. This analysis enables Digit to assess how much disposable income a user has available without impacting their day-to-day living expenses. The algorithm continuously monitors users’ transactions and adjusts to changes in their financial situation. For instance, if a user's spending increases or decreases, Digit recalibrates the amounts it saves accordingly. The app utilizes a unique feature called "smart savings" that takes into account recurring expenses, bills, and any upcoming obligations to ensure the funds saved do not interfere with essential expenditures. Moreover, users have the flexibility to set specific savings goals, such as saving for a vacation or paying off debt, which further informs the amount Digit decides to save. Digit also employs machine learning techniques, which help it improve its predictions over time, making the savings process more personalized and effective as it learns from user behavior. Overall, Digit's approach is designed to help users grow their savings effortlessly while ensuring they maintain their lifestyle. For the most accurate and detailed explanation of how Digit's algorithm functions, it might be helpful to refer to the information available on their website.