50 / 30 / 20 rule

Budget planner.

Allocate your income, set savings goals and get professional financial guidance.

Calculate your budget

The 50/30/20 rule explained

50% Needs

Essential expenses you cannot avoid.

Rent or mortgage25-30% of income
Utilities (electricity, water, gas, internet)5-8%
Groceries8-12%
Transport (car, public transit, fuel)5-10%
Insurance (health, home, car)3-5%
Minimum debt paymentsVariable

30% Wants

Things you enjoy but could live without.

Dining out and takeaway
Entertainment (streaming, cinema, events)
Shopping (clothes, gadgets, decor)
Travel and vacations
Hobbies and sports
Subscriptions (gym, apps, magazines)

20% Savings and debt repayment

Building financial security and wealth.

Emergency fund (3-6 months of expenses)Priority 1
Retirement savingsPriority 2
Investments (stocks, ETFs, real estate)Priority 3
Extra debt repaymentPriority 4
Education or skill-building fundOptional

Professional financial help

When to seek help and who to contact.

When to see a financial advisor

Your debt exceeds 40% of your income
You have no emergency fund
You are planning a major purchase (home, car)
You want to start investing but don't know how
You are going through a life change (marriage, divorce, job loss)
You need help with tax optimization

Who to contact

Certified Financial Planner (CFP)Investment, retirement and wealth planning
Tax advisor / Accountant (CPA)Tax optimization, deductions, compliance
Bank financial advisorSavings products, mortgages, basic planning (free)
Debt counselorDebt management, negotiation with creditors
Government financial aid servicesSocial benefits, housing aid, unemployment support

Country-specific resources

🇫🇷 FranceADIL (housing), CAF (benefits), Banque de France (debt)
🇬🇧 United KingdomMoneyHelper.org.uk, Citizens Advice, StepChange
🇺🇸 United StatesConsumer.gov, NFCC.org, 211.org
🇩🇪 GermanyVerbraucherzentrale, Schuldnerberatung
🇨🇦 CanadaFinancial Consumer Agency (FCAC), Credit Counselling Canada
🇦🇺 AustraliaMoneySmart.gov.au, National Debt Helpline

Common financial mistakes

Spending more than 30% on rentLeaves too little for savings and emergencies
No emergency fundOne unexpected expense can create a debt spiral
Ignoring employer retirement matchFree money you are leaving on the table
Only saving what is left overPay yourself first, save before spending
Not tracking expensesYou cannot improve what you do not measure
Lifestyle inflationEarning more should mean saving more, not spending more

Savings milestones

Financial targets by age (general guideline).

By 253 months of expenses saved
By 301x annual salary saved
By 352x annual salary saved
By 403x annual salary saved
By 506x annual salary saved
By 608x annual salary saved
By 6710x annual salary (retirement ready)

These are general guidelines. Your actual targets depend on your country, lifestyle, pension system and retirement age.