50/30/20 Budget

Free 50/30/20 Budget calculator with clear step-by-step results.

About 50/30/20 Budget

The 50/30/20 rule splits after-tax income into needs, wants and savings. It is a simple guardrail for budgeting without itemising every expense.

Formula

Needs = 50% × income; Wants = 30% × income; Savings = 20% × income

Worked example

With the default values below, 50/30/20 Budget returns Needs (50%) of $2,000.00. Change any input above and every figure here is recalculated in your browser.

Inputs used

Monthly after-tax incomeminimum 0 $: 4,000 $

Results

Needs (50%): $2,000.00
Wants (30%): $1,200.00
Savings & Debt (20%): $800.00

Step by step

1Values used
2Formula
3Needs (50%)= $2,000.00
4Wants (30%)= $1,200.00
5Savings & Debt (20%)= $800.00

Assumptions and limits

The result is derived only from the single input listed above. Anything not among them is not part of the calculation.
In particular, this calculator does not take inflation, fees or charges or compounding frequency into account.
Figures are rounded for display to 2 decimal places, so totals built from several rounded parts can differ slightly from the unrounded arithmetic.
A guideline only — adjust the split to your actual cost of living.
This is an estimate for general information and not professional financial, tax or legal advice. See the full disclaimer for the limits that apply to this kind of calculator.

How these calculators are built and tested is described on the Methodology page. If a figure looks wrong, please report it.

A guideline only — adjust the split to your actual cost of living.

Frequently Asked Questions

How does this calculator work?