THE 50/20/30 Rule + Tips for Personal Budgeting

THE 50/20/30 Rule + Tips for Personal Budgeting

Moneywise co-owners David Anderson + Sherod Waite share a video commentary that discusses an easy, approachable budgeting rule of thumb – The 50/20/30 Rule – that works well for many people and is geared towards what to do with your after-tax income.

50% – “Needs” aka monthly necessities, bills etc.
20% – “Savings” aka retirement egg, emergencies + debt
30% – “Wants” aka fun money

Please keep in mind that one size does not fit all, but this is a great starting point for most people. If you are new to training your brain and your pocketbook to budget, this is an excellent way to get moving in a healthy direction. If you can put more into your savings bucket and company retirement plan, we typically encourage so, but please be thoughtful and seek professional advice before making any major financial decisions.

Our Moneywise team of fiduciary financial advisors is here to help you, your family, and business stay on track.


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YouTube video