Budget Calculator: 50/30/20 Rule
The 50/30/20 rule is the simplest real budgeting framework. Enter your after-tax income and see exactly how much you should spend in each category — no spreadsheet required.
What Counts as "Needs"?
- Rent or mortgage payment
- Utilities (electricity, water, gas, internet)
- Groceries
- Insurance (health, car, renters/home)
- Minimum debt payments
- Transportation to work (gas, transit pass)
- Childcare / required work expenses
What Counts as "Wants"?
- Dining out, coffee shops, takeout
- Entertainment (Netflix, concerts, hobbies)
- Shopping (clothes, electronics, non-essentials)
- Gym memberships (you could work out at home)
- Vacation and travel
- Subscriptions beyond basic utilities
📊 Make Your Budget Stick
This calculator gives you the numbers. Our budgeting guide gives you the system — including 3 budgeting apps compared and a 60-minute setup plan.
FAQ
What if my needs are more than 50%?
Common in high cost-of-living areas. Adjust the ratios — some people use 60/20/20 or even 70/15/15 temporarily. The goal is to maximize savings while being realistic. Over time, increase income or reduce needs to get closer to 50/30/20.
Should I budget weekly or monthly?
Monthly for most people. If you get paid weekly or bi-weekly, divide your monthly budget by the number of pay periods. The numbers are the same — just the timing changes.