How to use this calculator
- Enter or choose monthly take-home income.
- Enter or choose rent or mortgage.
- Enter or choose utilities, phone and internet.
- Enter or choose groceries.
- Enter or choose transport.
- The left over each month updates as you type. Use Copy result or Share to keep it.
Method
Left over = Income − Needs − Wants − Savings; Each share = Category total ÷ Income × 100
- Needs
- housing, utilities, groceries, transport, insurance and minimum debt payments
- Wants
- eating out, entertainment, shopping and other spending
- Savings
- saving, investing and debt repayment above the minimum
Worked example
- Needs = 1,500 + 250 + 500 + 300 + 200 + 250 = $3,000, or 60% of $5,000.
- Wants = 300 + 250 + 150 = $700 (14%); savings = $750 (15%).
- Left over = 5,000 − 3,000 − 700 − 750 = $550.
This budget leaves $550 unallocated; adding it to savings would lift the savings rate to 26%.
What the result means
The 50/30/20 guideline (50% needs, 30% wants, 20% savings) is a rule of thumb, not a target everyone can hit; in high-rent areas needs often take more. Give every leftover dollar a job, ideally savings or debt repayment.
Assumptions and limits
- All amounts are monthly; irregular costs such as annual insurance should be divided by 12.
- The needs/wants grouping is fixed; move an amount to another field if you classify it differently.
Questions
What is the 50/30/20 rule?
A simple budgeting guideline: about half of take-home pay for needs, 30% for wants and 20% for savings and extra debt repayment.
How much should go on rent?
There is no universal limit. Housing is usually the biggest need, so if it alone takes more than half your take-home pay, the rest of the budget gets very tight.
Please note: This calculator gives estimates for planning. It is not financial advice, and lenders’ actual terms, fees and rounding may differ.