50,30,20 Budget rule 2

• Business
• 6-9 Grade
• 9-12 Grade

Total Income=(Income×0.50)+(Income×0.30)+(Income×0.20)

Needs =I×0.50

Wants =I×0.30

Savings/Debt =I×0.20

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You earn $2,000 per month.

Use the 50/30/20 rule to plan your budget.

(Remember: 50% = Needs, 30% = Wants, 20% = Savings)

50% of your income goes to ______________ such as rent, food, and transportation.

Calculation: $2,000 × 0.50 = $__________

30% of your income goes to ______________ such as entertainment, eating out, or hobbies.

Calculation: $2,000 × 0.30 = $__________

20% of your income goes to ______________ such as saving, investing, or paying off debt.

Calculation: $2,000 × 0.20 = $__________

How much will you spend in total on needs and wants combined?

Calculation: ($2,000 × 0.50) + ($2,000 × 0.30) = $__________

If your rent is $700 and your groceries are $200, how much money do you have left for other needs?

Calculation: $1,000 (total needs) − ($700 + $200) = $__________

Needs

1,000

Wants

Savings/Debt

1,600

$600

$400

$100

calculatormine.com

What is your short-term and long-term goal? What skills do you currently have, and what new skills will you start developing to help you reach those goals?

Reflection