The 50/30/20 Budget Rule
Do you struggle to save at the end of the month? The 50/30/20 rule is the simplest and most effective organizational method to budget your income.
- 50% for Needs: Rent, groceries, utilities, and transportation.
- 30% for Wants: Leisure, subscriptions, dining out, or treats.
- 20% for Savings/Investing: Your emergency fund or your investments.
Following this ratio ensures a balanced life without neglecting your financial future.
Set your limits in Totem Finance:
In the Budgets section of our app, you can create these three categories and see in real-time via progress bars if you are sticking to the plan or if you need to slow down your spending.