50/30/20 Budget Calculator

How the 50/30/20 rule works

• 50% needs: rent, utilities, groceries, transportation, insurance and minimum debt payments.
• 30% wants: eating out, streaming, shopping, trips.
• 20% savings and debt: emergency fund, retirement and extra payments on debt.

Use your take-home pay: what reaches your bank account after taxes. If you are paid every two weeks, multiply one paycheck by 26 and divide by 12. Read the full guide to the 50/30/20 budget.

If your numbers don't fit

That is normal, especially in high-rent cities. The rule is a starting point, not a test. If needs take more than 50%, try 60/20/20 or 70/20/10 for now, and look for one big fix: a roommate, a cheaper phone plan or lower car insurance. The most important part is saving something every month, even if it is less than 20%.

Frequently asked questions

Are debt payments needs or savings?
Minimum payments are needs. Anything you pay above the minimum counts in the 20% for savings and debt.

What if my income changes every month?
Use the income of a low month as your base. In better months, send the extra to savings.

Does my 401(k) count in the 20%?
Yes. Retirement savings count toward the 20%, even if they come out of your paycheck before you see it.

This calculator gives estimates for educational purposes only. It is not financial advice, and your real numbers may differ.