50/30/20 Budget Rule Calculator
Split your income into needs, wants and savings using the 50/30/20 rule.
Assumptions used in this calculation
- Income basis: The split is applied to after-tax (take-home) income, not gross income, enter your net monthly income for an accurate breakdown.
- Fixed percentages: Uses the standard 50/30/20 split as a guideline, it doesn't adjust for situations where essential needs genuinely exceed 50% of income.
About this calculator
Most people who try to budget get stuck deciding how much is reasonable to spend on needs versus wants versus saving, without a benchmark that's much more actionable than 'save what you can.' The 50/30/20 rule offers a concrete starting split: 50% of after-tax income toward needs (rent or EMI, groceries, utilities, insurance, minimum debt payments), 30% toward wants (dining out, entertainment, discretionary shopping), and 20% toward savings and extra debt repayment. This calculator applies that split directly to your monthly after-tax income and shows the exact rupee amount for each category, turning a percentage-based rule of thumb into concrete numbers you can compare against your actual spending. It's a starting framework rather than a rigid law, useful as a quick sanity check on whether your current spending is broadly balanced, and as a target to budget toward if it isn't.
Worked example
₹1,00,000 income
Result: Needs ₹50,000, Wants ₹30,000, Savings ₹20,000
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