Create a comprehensive monthly budget using the proven 50/30/20 rule. This planner helps you allocate your income across needs, wants, and savings. Enter your monthly income and expenses to see if your spending aligns with recommended guidelines. Get a visual breakdown of where your money goes and identify areas where you can save more.
50/30/20 Rule Check:
Monthly Remaining
₹1,000
Extra money to invest
Total Expenses
₹4,000
Savings Rate
10%
The 50/30/20 rule is a simple budgeting framework. Allocate 50% of after-tax income to needs (housing, food, utilities, insurance, minimum debt payments), 30% to wants (entertainment, dining out, subscriptions, hobbies), and 20% to savings and extra debt payments.
Needs are expenses essential for survival and basic functioning: rent/mortgage, groceries (not restaurants), utilities, health insurance, transportation to work, and minimum debt payments. Wants are everything else you spend money on that you could live without — dining out, streaming services, gym memberships, new clothes beyond basics, and vacations.
Saving at least 20% of your income funds your emergency fund, retirement contributions, investment portfolio, and specific savings goals. If you cannot save 20%, start with whatever you can and increase by 1% each month. Even 10% savings with consistent investing can build significant wealth over decades.
Housing (rent/mortgage + utilities): aim for under 30% of income. Transportation: 10-15%. Food (groceries + dining): 10-15%. Insurance and healthcare: 5-10%. Personal and discretionary: 5-10%. Savings and investments: 15-20%+. Debt payments above minimums: variable based on debt levels.
Track every expense for one month to understand your actual spending patterns. Automate savings transfers on payday. Use separate accounts for different purposes. Review your budget monthly and adjust as circumstances change. Allow small "fun money" allocations to avoid budget fatigue.