The 50/30/20 Budget Calculator is a tool designed to help individuals effectively allocate their monthly after-tax income according to the popular 50/30/20 budgeting rule. This rule suggests dividing your income into three categories:
- Necessities: 50% of your income should be allocated to essential expenses such as housing, utilities, groceries, transportation, and insurance.
- Wants: 30% of your income can be spent on discretionary items or non-essential expenses like dining out, entertainment, hobbies, and luxury items.
- Savings and Debt Repayment: 20% of your income should be directed towards savings, investments, or paying off debt.
