Budget Calculator
Build a 50/30/20 or fully custom monthly budget from your take-home pay. Allocate spending across needs, wants and savings/debt repayment.
How to use the Budget Calculator
- Enter your inputs into the Budget Calculator above.
- Results update instantly as you type — no submit button needed.
- Adjust any value to see how the result changes in real time.
The 50/30/20 rule
50% needs + 30% wants + 20% savings & debt repayment = 100% of net income
A widely-used framework popularized by Senator Elizabeth Warren. "Needs" covers essentials (housing, food, transport, insurance, minimum debt payments). "Wants" covers discretionary spending. "Savings & debt" includes retirement, emergency fund and debt above minimums.
Worked example
$5,000 monthly take-home pay: $2,500 to needs (housing, utilities, groceries, transport), $1,500 to wants (dining, entertainment, hobbies), $1,000 to savings and extra debt payments. Adjust based on your situation.
Frequently asked questions
What if my needs exceed 50% of income?
Common in high-cost areas. Either trim wants/savings temporarily, or work to reduce needs (cheaper housing, refinance debt). Aim for needs <55% within 12–18 months.
Should I budget gross or net income?
Net (take-home) income. Budgeting gross requires accounting for taxes and pre-tax deductions separately, which complicates the simple percentage split.
Is 50/30/20 right for everyone?
It's a starting point. Aggressive savers might prefer 50/20/30 (more savings). High-cost-area renters might run 60/25/15 temporarily. The principle of intentional allocation matters more than the exact percentages.