How to use the Budget Calculator
- List your monthly take-home income.
- Add each expense and saving, and tag it as a need, a want or savings.
- Compare your split with the 50/30/20 guideline and adjust until nothing is over budget.
The 50/30/20 rule
A simple starting point for dividing take-home pay:
- 50% needs — things you must pay: rent or home EMI, groceries, utilities, insurance, minimum loan payments.
- 30% wants — things you choose: eating out, entertainment, shopping, holidays.
- 20% savings — emergency fund, investments, and extra debt repayment.
In expensive cities, needs often exceed 50%. That's fine as long as savings stay meaningful — cut wants first.
Tips for a budget that sticks
- Treat savings as a fixed bill: automate a SIP or RD on payday.
- Build an emergency fund of 3–6 months of needs before investing for long-term goals.
- Track irregular costs (insurance premiums, school fees, festivals) by dividing the annual amount by 12.
- Splitting shared costs with flatmates or friends? Use the expense splitter.
Frequently asked questions
Should EMIs count as needs?
Minimum EMIs on existing loans are needs. Extra payments to clear debt early count as savings, because they improve your net worth.
Where is my budget stored?
Only in this browser's local storage. Nothing is uploaded. Clearing site data or using a different browser will start a fresh budget.