How Does Splitwise Make Money?



Splitwise is a popular personal finance management app that helps users manage shared expenses with friends, family, and roommates. Whether it’s splitting the bill at a restaurant, dividing rent and utilities, or sharing expenses during a vacation, Splitwise simplifies the process and ensures fairness among all parties. But how does Splitwise make money? In this article, we will explore the various revenue streams and business models that enable Splitwise to generate income while providing a valuable service to its users.

Founded in 2009 by Jon Bittner, Ryan Duff, Marshall Voorhis, and Ryan Fujiu, Splitwise has grown in both popularity and functionality, becoming an integral part of millions of people’s financial management routine. The app boasts a user-friendly interface, seamless integration with popular payment platforms like PayPal and Venmo, and a range of features that make expense tracking effortless.

Splitwise operates predominantly under a freemium model, allowing users to access a wide range of basic features for free while offering a premium subscription service called Splitwise Pro for advanced functionality. Let’s dive deeper into Splitwise’s business model and how they generate revenue.


Overview of Splitwise

Splitwise is a mobile app and web-based platform designed to simplify the process of splitting expenses among friends, roommates, and family members. It eliminates the need for complex calculations, awkward conversations about money, and the hassle of keeping track of multiple shared expenses. The app has gained immense popularity due to its ease of use, intuitive interface, and ability to streamline financial management for groups of all sizes.

Users start by creating a group or adding individuals with whom they want to split expenses. They can then add bills, enter expense details, and assign each cost to a specific individual or divide it equally among all members. Splitwise automatically calculates each person’s share and maintains a running balance, allowing users to keep track of who owes whom and settle up at their convenience.

One of the key features that sets Splitwise apart is its ability to handle different currencies and convert them accurately based on current exchange rates. This is particularly useful for travelers or users with international connections.

Additionally, Splitwise offers convenient ways to settle debts. Users can make direct payments through popular payment platforms like PayPal and Venmo, or they can choose to settle up in cash or manually outside the app. Splitwise also allows users to export their expenses and generate reports for reimbursement purposes or tax filing.

Splitwise prioritizes simplicity and fairness, ensuring that all members in a group can easily keep track of their shared expenses. It promotes open communication and transparency, making financial arrangements more equitable and reducing the potential for misunderstandings or disagreements.

The app’s user-friendly design, robust functionality, and dedication to ease of use have made Splitwise a go-to solution for millions of individuals, whether they’re managing a roommate situation, planning group trips, or simply keeping track of shared household expenses.


Freemium Model

Splitwise operates primarily under a freemium business model, which means that the core features of the app are available to users free of charge. This approach enables Splitwise to attract a large user base and establish itself as a trusted platform for managing shared expenses.

With the free version of Splitwise, users have access to essential features such as creating groups, adding expenses, splitting bills, and keeping track of balances. These features are robust enough to meet the needs of most casual users who have occasional shared expenses.

The freemium model allows Splitwise to cater to a wide range of users, regardless of their financial situation or frequency of use. It ensures that budget-conscious individuals can still benefit from the app’s primary functionality without any financial commitment. This inclusive approach has contributed significantly to Splitwise’s popularity and widespread adoption.

However, to monetize their platform and sustain operations, Splitwise offers an enhanced subscription service called Splitwise Pro. This premium offering provides users with access to advanced features and additional functionality.

One of the primary benefits of Splitwise Pro is the ability to automatically sync expenses across multiple devices. This is especially useful for users who frequently switch between their smartphones, tablets, and computers. With Synced Expenses, users no longer have to manually update their expenses on each device, saving time and ensuring that everyone has the most up-to-date information.

Another notable feature of Splitwise Pro is receipt uploads. Users can snap photos of their receipts directly within the app and attach them to their expenses. This feature simplifies the process of keeping track of expenses and provides users with a digital record of their transactions.

Splitwise Pro also includes priority customer support, ideal for users who require prompt assistance with any app-related issues or inquiries. With this additional level of support, Pro subscribers can have their questions answered and concerns addressed efficiently, further enhancing their experience with the app.

To access Splitwise Pro, users can subscribe on a monthly or yearly basis. The subscription pricing is reasonable, making the upgrade an affordable option for those who require the advanced features and value-added benefits.

By offering a freemium model with enticing premium features, Splitwise strikes a balance between providing a valuable service to a wide range of users and generating revenue to sustain its business operations and further enhance its platform.


Splitwise Pro

Splitwise Pro is a premium subscription service offered by Splitwise that unlocks advanced features and additional functionality for users. It is designed to cater to individuals who require more robust tools to manage their shared expenses and who are willing to invest in a higher level of convenience and efficiency.

One of the key features of Splitwise Pro is the automatic debt reconciliation. With Pro, users can enable automatic settlement of debts within their groups. This means that Splitwise will calculate the most efficient way to settle up and notify users, reducing the need for manual calculations and simplifying the process of paying and receiving payments.

Splitwise Pro subscribers also gain access to unlimited receipt uploads. This feature allows users to attach as many receipts as they want to their expenses, providing a convenient and organized way to store and reference transaction details. Whether it’s for personal record-keeping or business reimbursement purposes, this feature simplifies the management of expenses.

Another valuable benefit of Splitwise Pro is the ability to create recurring expenses. This feature is particularly useful for users who have regular shared expenses, such as monthly rent, utility bills, or subscription fees. By setting up recurring expenses in Splitwise Pro, users can automate the process of adding and splitting bills, saving time and ensuring accuracy.

In addition to the advanced features, Splitwise Pro subscribers also enjoy an ad-free experience. While the free version of Splitwise includes occasional advertisements, Pro users can navigate the app without any interruptions, allowing for a seamless and focused expense management experience.

Splitwise Pro offers subscription plans on a monthly or yearly basis. The pricing is affordable, making it accessible to a wide range of users, especially those who heavily rely on Splitwise for seamless expense splitting and tracking.

Overall, Splitwise Pro caters to individuals who require enhanced features and greater flexibility in managing their shared expenses. It provides a premium experience by automating tasks, providing unlimited receipt uploads, simplifying recurring bills, and eliminating advertisements. The subscription fee offers users a higher level of convenience, efficiency, and customization, making Splitwise Pro a valuable upgrade for those in need of more advanced expense management tools.


Pro Features and Subscription Pricing

Splitwise Pro offers a range of enhanced features and benefits to subscribers, making it a compelling option for individuals who require advanced functionality and a more seamless expense management experience.

One of the key benefits of Splitwise Pro is the Synced Expenses feature. With Synced Expenses, Pro subscribers can automatically sync their expenses across multiple devices, ensuring that everyone in their group has access to the most up-to-date information. This eliminates the need for manual updates and reduces the chances of discrepancies or confusion among group members.

Pro subscribers also gain the advantage of unlimited receipt uploads. This feature allows users to attach receipts to their expenses, providing a convenient and organized way to keep track of their financial transactions. It simplifies the process of record-keeping, expense reimbursement, and tax filing, enhancing overall financial management.

Another valuable feature of Splitwise Pro is the ability to create recurring expenses. Pro subscribers can set up recurring bills, such as monthly rent or utilities payments, and have Splitwise automatically add and split these expenses. This automation saves time and ensures accuracy, especially for users with regular shared expenses.

In addition, Splitwise Pro offers priority customer support. Pro subscribers receive faster and more dedicated assistance from the Splitwise support team for any app-related questions or issues. This level of support ensures that Pro users have a smooth and seamless experience with the platform.

The pricing for Splitwise Pro is reasonable and offers flexibility to cater to different user preferences. Users can opt for a monthly subscription or choose an annual subscription for additional savings. The subscription fee contributes to the ongoing development and improvement of Splitwise, enabling the team to provide continuous updates and new features to enhance the user experience.

Splitwise Pro provides users with a range of advanced features that enhance the convenience, efficiency, and customization of their expense management. With features like Synced Expenses, unlimited receipt uploads, recurring expenses, and priority customer support, Splitwise Pro subscribers have access to a premium experience that simplifies and streamlines their financial transactions.


Advertising and Sponsored Content

While the core functionality of Splitwise is offered for free to its users, the company generates revenue through advertising and sponsored content. As a popular personal finance management app with a large user base, Splitwise has opportunities to collaborate with advertisers and provide targeted advertising to its users.

Splitwise strategically places advertisements within the app to ensure they are non-intrusive and relevant to users’ interests. These advertisements may appear as banners or sponsored content in specific sections of the app. By partnering with advertisers, Splitwise is able to monetize its platform without compromising the user experience.

However, it’s worth noting that Splitwise is committed to maintaining the trust of its users and does not compromise user privacy or sell personally identifiable information to advertisers. Any advertisements or sponsored content displayed within the app are based on general demographic information or user preferences rather than individual data.

In addition to traditional advertisements, Splitwise may also collaborate with third-party brands to provide sponsored content or promotions. This could include featuring specific products or services that align with the interests and needs of Splitwise users. These partnerships provide additional revenue streams for Splitwise while offering users access to relevant and valuable offerings.

Splitwise takes great care in ensuring the advertisements and sponsored content it presents to its users maintain the app’s integrity and value. The company aims to strike a balance between generating revenue and providing a seamless user experience, ensuring that advertisements are not excessive or overwhelming.

By leveraging advertising and sponsored content, Splitwise is able to offer its core features for free while maintaining a sustainable business model. The revenue generated through these partnerships helps support ongoing development, maintenance, and improvement of the app, ensuring that users continue to benefit from a reliable and user-friendly platform.

Overall, the inclusion of advertising and sponsored content in Splitwise allows the app to remain accessible to a wide user base while offering an opportunity for advertisers to reach a relevant audience. By carefully curating and integrating advertisements into the app, Splitwise can generate revenue while still providing users with a valuable and seamless expense management experience.


Integration with Third-Party Apps

Splitwise understands the importance of seamlessly integrating with other platforms and applications to enhance the overall user experience. The app offers integration with various third-party apps, allowing users to leverage additional functionality and further streamline their expense management.

One of the key integrations is with popular payment platforms like PayPal and Venmo. Splitwise allows users to connect their accounts and make direct payments to settle expenses within the app. This integration eliminates the need for manual transfers or calculations, making it easier for users to reimburse one another quickly and efficiently.

Furthermore, Splitwise also offers integration with banking apps. By connecting their bank accounts, users can access their transaction history directly within Splitwise. This feature simplifies the process of adding expenses and ensures accuracy when splitting bills, eliminating the need for manual entry or copy-pasting.

Moreover, Splitwise integrates with expense tracking and budgeting apps. Users can synchronize their expenses with these apps, such as Mint or Personal Capital, to have a comprehensive view of their overall financial situation. This enables users to keep track of their shared expenses within Splitwise while having an overview of their personal finances all in one place.

Additionally, Splitwise integrates seamlessly with travel and trip planning apps. When planning a group trip, users can connect their itineraries from platforms like Airbnb or TripIt to Splitwise. This integration ensures that all shared expenses related to the trip, such as accommodation or activities, are automatically added to Splitwise, saving time and minimizing the chances of missing any expenses.

Splitwise’s commitment to integration reflects its dedication to providing users with a seamless and efficient experience. By integrating with other apps and platforms, Splitwise ensures that users can leverage the power of multiple tools to simplify their expense management, reducing the need for manual input and streamlining collaboration among group members.

Continued efforts to expand and strengthen integrations with third-party apps demonstrate Splitwise’s commitment to meeting users’ evolving needs and preferences. By seamlessly connecting with other platforms, Splitwise enhances its functionality and becomes more versatile, enabling users to customize their expense management process and tailor their experience to their unique requirements.


Data and Analytics

As a personal finance management app, Splitwise collects and analyzes user data to improve its services and provide a more personalized experience. While ensuring user privacy and data security, Splitwise leverages data and analytics to gain valuable insights into user behavior and preferences.

Splitwise collects anonymized data on user demographics, spending patterns, and expense categories. This data helps the company understand how users interact with the app and identify trends that can inform feature enhancements and user experience improvements.

By analyzing spending patterns, Splitwise can provide users with personalized recommendations and insights. For example, Splitwise may suggest cost-saving measures, highlight potential budget errors, or recommend alternative expense-splitting strategies based on users’ spending habits. These data-driven recommendations aim to help users optimize their financial management and make more informed decisions.

In addition, aggregate data collected by Splitwise can be used to generate market insights and trends related to shared expenses. This information can be valuable for businesses, researchers, and analysts who are interested in understanding consumer behavior and expenditure patterns.

It’s important to note that the data collected and analyzed by Splitwise is done so in a way that protects user privacy. Any personally identifiable information is stripped from the data during the analysis process, ensuring that user anonymity is maintained. Splitwise prioritizes the security and privacy of its users and implements robust measures to safeguard data.

Splitwise also uses analytics to track app performance, monitor user engagement, and identify areas for improvement. This includes analyzing metrics such as app usage, user retention, and customer feedback to make data-driven decisions and continuously refine the app’s features and functionality.

Splitwise clearly communicates its data collection and usage practices to users through its privacy policy, ensuring transparency and giving users control over their data. Users can choose to opt out of certain data collection practices or delete their data entirely if they no longer wish to use the app.

Overall, the use of data and analytics by Splitwise enables the app to offer personalized recommendations, improve user experience, and provide valuable insights into shared expense trends. By leveraging data in a privacy-conscious manner, Splitwise ensures that users can make the most of the app’s features while maintaining control of their personal information.



Splitwise has established itself as a leading personal finance management app, providing users with a convenient and efficient way to split expenses with friends, roommates, and family. Through its freemium model, Splitwise offers a wide range of essential features at no cost, allowing users to track and manage their shared expenses seamlessly.

For those seeking additional functionality and advanced features, Splitwise offers Splitwise Pro, a subscription service that unlocks benefits such as automatic debt reconciliation, unlimited receipt uploads, recurring expenses, and priority customer support. The affordability of Splitwise Pro makes it an attractive option for users who require a higher level of convenience and customization in their expense management process.

In addition to the freemium model and the Pro subscription service, Splitwise generates revenue through advertising and sponsored content. Collaborations with advertisers allow Splitwise to provide targeted advertisements to its users while maintaining the integrity and value of the app. The inclusion of sponsored content further contributes to revenue generation, offering users access to relevant products and services.

Splitwise’s commitment to integration with third-party apps enhances the overall user experience, providing seamless connectivity with platforms such as payment platforms, banking apps, travel apps, and expense tracking apps. These integrations streamline the expense management process and allow users to leverage additional functionality from various platforms.

The collection and analysis of user data enable Splitwise to personalize the experience and offer valuable insights and recommendations to users. By leveraging data and analytics, Splitwise continuously improves its services and provides users with data-driven suggestions to optimize their financial management process.

In conclusion, Splitwise’s combination of a freemium model, Splitwise Pro subscription service, advertising and sponsored content, integration with third-party apps, and data analytics solidify its position as a reliable and comprehensive expense management app. With a commitment to user privacy and a constant drive for enhancing user experience, Splitwise continues to empower individuals in managing shared expenses and promoting fairness among groups.

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