50/30/20 Budget Calculator
Enter your monthly take-home pay to see how much you should allocate to needs, wants, and savings using the 50/30/20 rule.
Quick Reference
Common monthly income levels and their default 50/30/20 allocations.
| Monthly Income | Needs (50%) | Wants (30%) | Savings (20%) |
|---|---|---|---|
| $3,000 | $1,500 | $900 | $600 |
| $4,000 | $2,000 | $1,200 | $800 |
| $5,000 | $2,500 | $1,500 | $1,000 |
| $6,000 | $3,000 | $1,800 | $1,200 |
How the 50/30/20 Rule Works
The 50/30/20 rule divides your after-tax income into three categories. Fifty percent goes to needs, which are expenses required to live and work. Thirty percent goes to wants, which are discretionary purchases that are not strictly necessary. Twenty percent goes to savings and debt repayment beyond minimums.
This framework was popularized by Senator Elizabeth Warren in the book All Your Worth. It works well for people who want a simple starting point without tracking every dollar. If your needs exceed 50%, you can use the custom percentage feature above to find a split that fits your situation. For a deeper dive into budgeting methods, see our Budgeting Guide.
Set Up Your 50/30/20 Budget in MCF
Track your spending against these targets automatically. Free, no bank connections required.