The 50/30/20 Budget

The 50/30/20 Budget

One rule. Three buckets. Zero spreadsheets.

Take your take-home pay

Example month: $4,000 after tax.

50% — Needs: $2,000

Rent, groceries, bills, transport, minimum payments.

30% — Wants: $1,200

Eating out, streaming, travel, fun — guilt-free, inside the limit.

20% — Future you: $800

Savings + extra debt payments, every single month.

Needs over 50%?

In expensive cities needs can hit 60%+. Adjust the targets — the rule is a compass, not a law.