Budget Calculator
Turn one paycheck number into a plan. Enter your take-home pay — monthly or annual — and the calculator splits it into needs, wants, and savings using the 50/30/20 rule, a one-tap preset, or your own percentages. Or flip it around: enter your essential bills and find the income they require. All in your browser.
The 50/30/20 rule is a starting framework, not a law: 50% on needs (housing, food, utilities, minimum debt payments), 30% on wants, 20% on savings and extra debt payoff. High-cost-of-living areas often can't fit needs into 50% — adjust the percentages to your reality.
What counts in each bucket
The buckets only work if expenses land in the right one. The test for a need: would skipping it for a month have real consequences? The test for savings: does it increase your net worth?
| Bucket | What goes in it |
|---|---|
| Needs | Housing (rent or mortgage), utilities, groceries, transportation, insurance premiums, minimum debt payments |
| Wants | Dining out, streaming and subscriptions, travel, hobbies, upgrades you could defer |
| Savings & debt | Emergency fund, retirement contributions, investments, extra debt principal beyond the minimums |
Two classics that trip people up: minimum debt payments are a need (missing them has consequences), while anything you pay beyond the minimum is savings & debt — it builds net worth. And groceries are a need, but dining out is a want, even though both are food.
Why a simple rule beats a perfect spreadsheet
The best budget is the one you'll actually keep. The 50/30/20 split works because it's coarse enough to remember and follow without tracking every coffee. Three buckets, three targets. Once the broad shape is right — needs under control, wants in check, savings on autopilot — the details mostly take care of themselves.
Make it yours
The exact percentages are a starting point, not gospel. Aggressive savers run 50/20/30 (more to savings); people in expensive cities often can't fit needs under 50% and adjust accordingly. The one rule that matters: the categories should total 100% of your take-home pay, so every dollar has a job. Edit the splits above to match how you actually want to live.
Related
- Personal finance hub — all our money calculators and guides
- Savings goal calculator — turn the 20% into a target
- Emergency fund calculator — the first savings priority
- Salary to hourly — find your real monthly take-home
FAQ
Is anything I enter sent to a server?
No. The calculator runs entirely in your browser — open DevTools → Network and confirm. Your income never leaves the tab.
What is the 50/30/20 rule?
A simple budgeting framework: spend 50% of after-tax income on needs (housing, food, utilities, transport, insurance, minimum debt payments), 30% on wants (dining out, entertainment, hobbies, upgrades), and 20% on savings and extra debt payoff. It's popular because it's easy to remember and flexible enough to start with.
Should I use gross or after-tax income?
After-tax (take-home) pay — the rule divides money you can actually direct. One refinement: if your paycheck auto-deducts 401(k) contributions or health insurance premiums, add those back to your take-home number first, then count them in the right bucket (retirement contributions in savings, insurance in needs). Otherwise pre-tax benefits silently shrink every bucket and your "20% savings" understates what you're really putting away. Enter the result as monthly or flip the toggle to annual and the calculator divides by 12.
How does "What income do I need?" work?
It runs the rule backward. Add up your essential monthly bills — rent, utilities, groceries, insurance, minimum debt payments — and the calculator computes the after-tax income where those essentials sit at your needs percentage: required income = essential needs ÷ needs%. With $2,500 of essentials at 50%, you need $5,000/month after tax, which implies $1,500 for wants and $1,000 for savings. It's a quick reality check for a move, a job change, or a first apartment.
Which preset should I start with?
50/30/20 is the classic default. 60/20/20 fits high-cost-of-living cities where housing pushes needs past half. 70/20/10 reflects a debt-heavy or tight season — keep something flowing to savings even when needs dominate. 30/30/40 is for aggressive savers chasing early retirement or a big goal. Tap a chip, then fine-tune the numbers; the chips are starting points, not prescriptions.
What if my needs are more than 50%?
Very common, especially in high-cost-of-living areas where rent alone can exceed 50% of take-home. The rule is a target, not a law — adjust the percentages to your reality. If needs are 60%, you might run 60/20/20 or 60/25/15 while you work on raising income or lowering fixed costs. The calculator lets you set your own splits; just keep them totaling 100%.
Does the 20% include retirement contributions?
It can, depending on how you account for them. If your 401(k) comes out pre-tax (before the money hits your take-home), it's already handled and the 20% is additional saving. If you're budgeting from gross pay or saving from take-home, count those contributions in the 20%. Pick one approach and be consistent.