Budget Calculator

Add up your monthly expenses, see what is left over, and find your savings rate, with the 50/30/20 guideline as a benchmark.

Budget Calculator

Plan monthly income, expenses, remaining balance, and savings rate in one personal budget view.

Monthly income

Housing

Transportation

Food

Insurance

Entertainment

Other

Total expenses

$3,800

Remaining balance

$2,700

Savings rate

41.54%

Results are estimates for informational purposes only.

How to use this calculator

How this budget calculator works

Enter your monthly take-home income and what you spend in each category. The calculator adds up your expenses, shows what is left over, and turns that leftover into a savings rate: the share of your income you are not spending. Using take-home pay (after taxes and payroll deductions) ties the numbers to the money you actually receive.

With the default inputs, $3,800 of expenses on $6,500 of income leaves $2,700 a month, a savings rate of 41.5%. If the remaining balance is negative, you are spending more than you earn and the gap is coming from savings or debt.

The 50/30/20 guideline

A popular starting point splits take-home pay three ways: about 50% for needs (housing, utilities, groceries, insurance, transportation, and minimum debt payments), 30% for wants (dining out, entertainment, travel, and shopping), and 20% for savings and extra debt payments. On $6,500, that is $3,250 for needs, $1,950 for wants, and $1,300 for savings.

The split is a guide, not a rule. In high-cost areas, housing alone can take a large share of take-home pay and leave less room elsewhere. Aim for a savings rate you can sustain, then raise it as your income grows.

Finding room in your budget

Housing, transportation, and food are the three largest expenses for most US households, so changes there matter most. A cheaper car payment or a roommate can free up more money than cutting dozens of small purchases.

Track your actual spending for a month or two before setting targets, since estimates tend to run low. Include irregular costs such as car repairs, annual subscriptions, and gifts by dividing their yearly total by 12. Then automate savings on payday so it happens before spending does.

You can also review Inflation Calculator and Salary Calculator to compare scenarios.

Formula

Total expenses = housing + transportation + food + insurance + entertainment + other
Remaining balance = monthly income − total expenses
Savings rate = remaining balance ÷ monthly income × 100

Example: $6,500 monthly take-home pay

Expenses: $1,800 housing + $450 transportation + $650 food + $300 insurance + $250 entertainment + $350 other = $3,800.
Remaining balance: $6,500 − $3,800 = $2,700.
Savings rate: $2,700 ÷ $6,500 = 41.5%.
Housing, transportation, food, and insurance total $3,200, or 49% of income, within the 50% guideline for needs.

Savings rate at different incomes

Monthly expenses held at the default $3,800.

Monthly income	Remaining balance	Savings rate
$4,000	$200	5%
$5,000	$1,200	24%
$6,500	$2,700	41.54%
$8,000	$4,200	52.5%
$10,000	$6,200	62%

Frequently asked questions

What is a good savings rate?

Saving 15% to 20% of take-home pay is a common target that covers retirement and shorter-term goals. If that is out of reach, start with any amount and increase it with each raise.

Should I budget with gross or take-home pay?

Take-home pay, because that is what reaches your bank account. If you contribute to a 401(k) through payroll, remember that you are already saving that money before it reaches you.

What counts as a need versus a want?

Needs are costs you must pay to live and work: rent or mortgage, utilities, basic groceries, insurance, transportation to work, and minimum debt payments. Wants are the optional extras, such as restaurants, streaming services, and travel. Upgrades on a need, like a pricier apartment, are partly wants.

How much should I spend on housing?

Many renters use 30% of gross income as a ceiling, and lenders use about 28% of gross income for a mortgage payment. Staying below those levels leaves more room for saving and for surprises.