# Budget Calculator

> Plan a monthly budget from your take-home pay and spending categories, see what is left over and compare your split with the 50/30/20 guideline.

Category: Finance · Applies to: Worldwide · Last updated: 2026-10-29
Interactive calculator: https://calculators.geekmidst.com/calculators/budget-calculator

A budget tells your income where to go before the month starts. Enter take-home pay and planned spending to see what is left and how it splits between needs, wants and savings.

Also called: Monthly budget planner, 50/30/20 calculator.

## Inputs
- Monthly take-home income (default 5000)
- Rent or mortgage (default 1500; optional)
- Utilities, phone and internet (default 250; optional)
- Groceries (default 500; optional)
- Transport (default 300; optional)
- Insurance and healthcare (default 200; optional)
- Minimum debt payments (default 250; optional)
- Eating out and entertainment (default 300; optional)
- Shopping and personal (default 250; optional)
- Other spending (default 150; optional)
- Savings and extra debt repayment (default 750; optional)
- Currency

## Results
- Left over each month
- Total spending
- Planned savings
- Needs (guideline 50%)
- Wants (guideline 30%)
- Savings (guideline 20%)
- Savings per year

## Formula

```
Left over = Income − Needs − Wants − Savings;  Each share = Category total ÷ Income × 100
```

Where:
- 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
1. Needs = 1,500 + 250 + 500 + 300 + 200 + 250 = $3,000, or 60% of $5,000.
2. Wants = 300 + 250 + 150 = $700 (14%); savings = $750 (15%).
3. Left over = 5,000 − 3,000 − 700 − 750 = $550.

**Result:** 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.

## Related calculators
- [Savings Goal Calculator](https://calculators.geekmidst.com/calculators/savings-goal-calculator)
- [Debt-to-Income Ratio Calculator](https://calculators.geekmidst.com/calculators/debt-to-income-ratio-calculator)
- [Compound Interest Calculator](https://calculators.geekmidst.com/calculators/compound-interest-calculator)
- [Inflation Calculator](https://calculators.geekmidst.com/calculators/inflation-calculator)

_This calculator gives estimates for planning. It is not financial advice, and lenders’ actual terms, fees and rounding may differ._

Source: GM¹X CalcVerse — https://calculators.geekmidst.com/calculators/budget-calculator