Register
If you used the 50-30-20 rule of budgeting, how much money would you be saving?
396,873 views
10 votes
10 votes
If you used the 50-30-20 rule of budgeting, how much money would you be saving?

User Jeffrin John
by
3.0k points

1 Answer

22 votes
22 votes
The basic rule of thumb is to divide your monthly after-tax income into three spending categories:
50% for needs, 30% for wants and 20% for savings or paying off debt.
- 50% of your after-tax income should cover your most necessary costs.
- 30% of your after-tax income can be used to cover your wants.
- 20% of your savings goals, or paying back any outstanding debts.
User Justin Voss
by
3.3k points
Ask a Question
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.

1.6m questions

2.0m answers

Other Questions

If the rate of inflation in Japan dramatically increases while the rate of inflation in the United States remains constant, then a. the demand curve for dollars shifts to the left. b. the demand curve
If you buy a one-year bond for $4,000 and the issuer pays you back $5,000 at the end of one year, the interest rate on the bond is
The market value of the equity of Hudgins, Inc., is $582,000. The balance sheet shows $21,000 in cash and $192,000 in debt, while the income statement has EBIT of $93,000 and a total of $137,000 in depreciation
Kylie is risk averse and has $1,000 with which to make a financial investment. She has three options. Option A is a risk-free government bond that pays 5 percent interest each year for two years. Option
From the standpoint of the issuing company, a disadvantage of using bonds as a means of long-term financing is that Group of answer choices bond interest is deductible for tax purposes. interest must be
Link Copied!