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What is the 50 30 20 budget rule?

The 50-30-20 rule is comprehensive and covers all bases. And don’t worry if math isn’t your thing because we’ve included 50 30 20 budget spreadsheet ideas to help you stay on top of your budgeting strategies. That said, let’s take a close look at this budgeting rule, including what it is and how it works.

What is 50 30 20?

Fifty Thirty Twenty, a project created by a graphic designer for the federal government, illustrates the difficulty of following the 50/30/20 rule on different incomes and various household sizes.

How do I calculate a 50/30/20 budget?

The latter takes into account all of your income. Here are your next steps: Multiply your monthly take-home pay by 50%, 30% and 20% to come up with the recommended spending limits for each category. Review your expenses to see how the 50/30/20 calculations compare to your reality.

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