Calculate your perfect budget breakdown. Divide income into needs, wants, and savings using proven methods.
Enter your monthly income and choose a budgeting method
Example: $3,500 or $5,000
Needs (50%): Essential expenses - rent, utilities, groceries, insurance, minimum debt payments
Wants (30%): Non-essential spending - dining out, entertainment, hobbies, subscriptions
Savings (20%): Emergency fund, retirement, debt payoff, investments, financial goals
How to allocate your $4,000 monthly income
Example breakdown - adjust based on your actual bills
| Category | Suggested % | Monthly Amount |
|---|---|---|
| 🏠Rent/Mortgage | 35% | $0 |
| 🛒Groceries | 15% | $0 |
| 🚗Transportation | 15% | $0 |
| 🛡️Insurance (Health, Car) | 15% | $0 |
| 💡Utilities (Electric, Water) | 10% | $0 |
| 📋Other Essentials | 10% | $0 |
| Total Needs | 50% | $0 |
💡These are suggestions! Your actual needs vary by location and lifestyle. Track your real expenses for 30 days to see where you stand.
Your "fun money" - spend guilt-free within this limit!
| Category | Suggested % | Monthly Amount |
|---|---|---|
| 🍕Dining Out & Takeout | 30% | $0 |
| 🎬Entertainment & Streaming | 25% | $0 |
| 👕Shopping & Fashion | 20% | $0 |
| ⚽Hobbies & Recreation | 15% | $0 |
| 🎉Other Fun Spending | 10% | $0 |
| Total Wants | 30% | $0 |
💡This is your guilt-free spending! As long as you stay under $0/month, enjoy it without worry.
Excellent savings rate! This follows the recommended 50/30/20 rule.
Based on your $0 monthly savings:
$5 Weekly Challenge ($260/year)
Monthly Income: $4,000
Budget Method: 50/30/20 Rule
| Needs (50%) | $0 |
| Wants (30%) | $0 |
| Savings (20%) | $0 |
| Category | Amount |
|---|---|
| Rent/Mortgage | $0 |
| Groceries | $0 |
| Transportation | $0 |
| Insurance (Health, Car) | $0 |
| Utilities (Electric, Water) | $0 |
| Other Essentials | $0 |
| Category | Amount |
|---|---|
| Dining Out & Takeout | $0 |
| Entertainment & Streaming | $0 |
| Shopping & Fashion | $0 |
| Hobbies & Recreation | $0 |
| Other Fun Spending | $0 |
Annual Savings Projection: $0
Generated by MyMoneyChallenge.com
The 50/30/20 rule allocates 50% of after-tax income to needs (essentials), 30% to wants (discretionary), and 20% to savings and debt payoff. It's a simple, flexible framework popularized by Senator Elizabeth Warren.
Needs: Rent/mortgage, utilities, groceries, insurance, minimum debt payments, transportation to work, basic clothing.
Wants: Dining out, entertainment, gym memberships, subscriptions, travel, hobbies, upgraded items beyond basics.
Absolutely! The 50/30/20 rule is a guideline. High cost-of-living areas might need 60/20/20. Aggressive savers use 50/20/30 or even 50/10/40. Use the custom option to find what works for YOUR situation.
Start a savings challenge that fits your 20% savings budget