50/30/20 Budget Calculator
Calculate your budget using the 50/30/20 rule for financial planning
Your Income
Enter your monthly income to calculate your budget breakdown
Supports formats: 1234.56 or 1.234,56
Your Budget Breakdown
Enter your income to see your personalized budget breakdown
What is the 50/30/20 Rule?
The 50/30/20 budget rule is a simple method to manage your money. It divides your after-tax income into three categories to help you save while still enjoying life.
Budgeting Tips
- Track your spending for a month before budgeting
- Build an emergency fund of 3-6 months expenses
- Automate your savings transfers
- Review and adjust your budget monthly
- Pay yourself first - save before spending
Frequently Asked Questions
What if I can't save 20%?
Start with whatever you can - even 5% is progress. Adjust the percentages to fit your situation, then gradually increase savings as your income grows or expenses decrease.
What counts as 'needs' vs 'wants'?
Needs are essential expenses: housing, utilities, groceries, transportation to work, insurance, minimum debt payments. Wants are everything else: dining out, subscriptions, hobbies, vacations.
Should I use gross or net income?
Use your net income (after taxes) for budgeting. This is the actual money you have available to allocate between needs, wants, and savings.
Frequently asked questions
What is the 50/30/20 rule?
A budgeting guideline: 50% of income for needs (rent, utilities, food), 30% for wants (entertainment, dining out), 20% for savings and debt repayment. It's a starting point—adjust for your goals.
What if I can't save 20%?
Start with what you can. Even 5% builds habits and emergency funds. As income grows or expenses decrease, gradually increase savings. Any savings is better than none.
What counts as needs vs wants?
Needs: housing, utilities, groceries, transportation to work, insurance, minimum debt payments. Wants: everything else—streaming services, gym membership, restaurants, hobbies, vacations.