See your month on one screen
A budget is just a list of what comes in and what goes out, but writing it down changes how you see it. This calculator takes your monthly take-home pay and your main costs and tells you what is left over, or how far over you are. It splits your spending into needs and wants and sets it against the popular 50/30/20 guide.
Nothing you enter is saved or sent anywhere. Close the page and the numbers are gone, so it is a safe place to be honest about the figures.
Filling it in
- Enter your monthly take-home pay: what actually reaches your account after tax.
- Fill in each spending line for a typical month. Look at a recent bank statement for real numbers rather than guesses.
- For costs that come once a year, like some insurance, divide the yearly amount by 12.
- Enter what you set aside each month on purpose, if anything.
- Read what is left over, then check the needs and wants lines against the 50/30/20 guide.
How the budget adds up
needs = housing + utilities + groceries + transport + insurance + phone
wants = subscriptions + eating out + fun + everything else
left over = take-home pay − needs − wants − money set asideThe 50/30/20 guide suggests spending about half of take-home pay on needs, 30% on wants and putting 20% aside. It is a rule of thumb, not a law. In cities with high rents, needs often take far more than half, and that is a reason to adjust the other two, not a sign of failure.
Worked example: a month on 4,200
- Needs: 1,400 + 220 + 480 + 300 + 180 + 90 = $2,670.00, which is 63.6% of pay
- Wants: 45 + 200 + 150 + 150 = $545.00, about 13%
- Set aside: $300, about 7.1%
- Left over: 4,200 − 2,670 − 545 − 300 = $685.00
This month has $685.00 spare. Needs are well above the 50% guide, mostly because of rent, while wants are low. Moving part of the $685 into the set aside line would bring that share up towards the 20% mark.
The 50/30/20 guide in money
| Take-home a month | Needs (50%) | Wants (30%) | Set aside (20%) |
|---|---|---|---|
| 2,000 | 1,000 | 600 | 400 |
| 3,000 | 1,500 | 900 | 600 |
| 4,200 | 2,100 | 1,260 | 840 |
| 6,000 | 3,000 | 1,800 | 1,200 |
Budget mistakes that are easy to make
- Using pay before tax. Budget with what you actually receive.
- Forgetting irregular costs. Car repairs, gifts, school trips and yearly renewals catch people out. An "everything else" line is there for them.
- Budgeting for a perfect month. Use averages from the last three months, not your best behaviour.
- Leaving no slack. A small amount left over each month absorbs surprises without wrecking the plan.
- Treating irregular income as steady. If you freelance, budget on a low month, and use the profit margin calculator to check your prices cover your costs.
Frequently asked questions
How do I make a monthly budget?
Start with your take-home pay for a month. List your regular costs from a recent bank statement, grouped into needs, like rent and groceries, and wants, like eating out. Add what you want to set aside. Take the costs from the pay and see what is left. Adjust until the left over figure is zero or a little above.
What is the 50/30/20 budget rule?
It suggests spending about 50% of take-home pay on needs, 30% on wants and putting 20% aside. On 3,000 a month, that is 1,500, 900 and 600. It is a starting point rather than a strict rule: where housing is expensive, needs often take more, and the other two shrink to match.
Should I budget with income before or after tax?
After tax. Your budget has to work with the money that actually reaches your account, so use take-home pay. If your pay varies, use a typical or slightly low month. For an hourly job, the hourly to salary calculator helps you turn a rate into a monthly figure first.
What counts as a need and what counts as a want?
Needs are costs you would struggle to cut without real harm: housing, basic food, utilities, getting to work, essential insurance. Wants are the rest: takeaways, streaming, hobbies, holidays. Some costs are a bit of both. A phone is a need, but the most expensive plan may be partly a want. Be honest rather than strict.
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