Free · 50% needs · 30% wants · 20% savings

50/30/20
Budget Calculator

Split your take-home pay into Needs, Wants and Savings — the simple rule that keeps your money in balance.

Visual donut Spending check Monthly targets
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Your monthly income

Your actual spending (optional)
The rule: 50% needs · 30% wants · 20% savings of after-tax income. Adjust if your city is expensive or you are paying off debt.

Your 50/30/20 targets

Needs (50%) $2,000
Wants (30%) $1,200
Savings (20%) $800
You vs the plan
Needs ✓ $1,800 of $2,000
Wants ✓ $900 of $1,200
Savings ✓ $1,300 of $800
Tip: automate the 20% savings bucket on payday. You cannot spend money you never see.
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Save before you spend

Move the 20% savings bucket to a separate account on payday. Paying yourself first is the habit that builds wealth.

Needs are the floor

If needs climb above 50%, you are one emergency from trouble. Watch the biggest fixed costs — housing, transport, insurance.

Wants are allowed

The 30% wants bucket is your freedom. Budget it deliberately so guilt-free spending never threatens your savings.

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FAQ

50/30/20 FAQ

What is the 50/30/20 rule?
A budgeting rule that splits your after-tax income into three buckets: 50% for needs (housing, food, bills), 30% for wants (dining, travel, hobbies) and 20% for savings and debt.
What counts as a "need"?
Essentials you cannot avoid: housing, utilities, groceries, transport, minimum debt payments and insurance. Roughly 50% of your after-tax income.
What counts as a "want"?
Everything optional that makes life enjoyable: dining out, subscriptions, travel, hobbies, shopping. Keep this at about 30%.
What does the 20% savings include?
Retirement contributions, emergency fund, investments and paying off debt above the minimum. It is your wealth-building bucket.
Is 50/30/20 right for everyone?
It is a great starting point, but adjust it: high-cost cities may need 60/20/20, and those with debt may prefer 50/20/30. The rule forces the key habit — save first.
Should I budget gross or net income?
Net (after-tax) income. The rule is built on what actually reaches your bank account each month.
What if my needs exceed 50%?
Trim wants or housing. If needs exceed ~60%, the budget becomes fragile — look for the biggest fixed costs to reduce.
How do I track my spending?
Start with a simple app or spreadsheet for one month, categorize every purchase, then compare with the 50/30/20 targets using this calculator.
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