50/30/20 Budget Calculator
Apply the popular 50/30/20 budgeting rule to your income. Allocate 50% to needs, 30% to wants, and 20% to savings and debt payoff.
Needs (50%)
- • Rent/Mortgage
- • Utilities
- • Groceries
- • Insurance
- • Transportation
- • Minimum debt payments
Wants (30%)
- • Dining out
- • Entertainment
- • Shopping
- • Subscriptions
- • Hobbies
- • Vacations
Savings (20%)
- • Emergency fund
- • Retirement (401k, IRA)
- • Extra debt payments
- • Investments
- • Down payment savings
- • Financial goals
About the 50/30/20 Rule
The 50/30/20 budget rule was popularized by Senator Elizabeth Warren in her book "All Your Worth." It's a simple framework for managing your after-tax income:
50% Needs: Essential expenses you can't avoid - housing, utilities, groceries, transportation, insurance, and minimum debt payments.
30% Wants: Non-essential spending that improves quality of life - dining out, entertainment, hobbies, and luxury items.
20% Savings: Financial goals including emergency fund, retirement contributions, extra debt payments, and investments.
This rule provides a balanced approach that ensures you cover necessities while still enjoying life and building wealth.
Disclaimer: This calculator is provided for educational and informational purposes only. Results are estimates based on the inputs you provide and may contain errors or inaccuracies. This tool does not constitute professional financial, investment, or tax advice. Individual circumstances vary, and you should consult with a qualified financial advisor, accountant, or other professional before making any financial decisions. We make no guarantees regarding the accuracy, completeness, or reliability of the calculations or results provided.
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SavePoint uses the 50/30/20 framework built-in. Automatically categorize transactions and see exactly where your money goes.
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