50/30/20 Budget Rule Calculator

This 50/30/20 budget calculator will helps to reach your financial goals. The rule states that you should spend up to 50% of your after-tax income of needs and obligations that your must-have or must-do. The remaining half should be split up to 20% savings and 30% to everything else that you might want.

  

Budgeting Rule 50/30/20 Calculator

The fundamental distribution of this rule is to allocate 50% of net income towards Necessities followed by 30% of income towards Wants and finally the remaining 20% to be kept as Savings.

50%

1. Mortgage

2. Rent

3. Utilities

4. Transportation

5. Health Care

30%

1. Shopping

2. Dining Out

3. Gym Membership

4. Entertainment

5. Vacations

20%

1. Emergency Funds

2. 401(k) Contributions or Retirement Contributions

3. Savings

4. Investments

5. Donations (for good cause)