How does my monthly spending stack up against the 50/30/20 rule? Enter your take-home pay and your monthly spending, and this calculator sorts it into needs, wants, and savings and debt repayment, then compares each bucket with the 50/30/20 targets.
Build your monthly budget
Income
Needs
Wants
Savings and Debt
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How to use this calculator
Enter your monthly take-home pay first — that is the number everything is measured against. Then fill in the spending you actually have each month. Every field except your take-home pay is optional; leave a field blank and it counts as $0. Press “Check my budget” to see your totals, your surplus, and how each bucket compares with the 50/30/20 targets.
Frequently asked questions
What is the 50/30/20 rule?
It is a simple budgeting guideline: aim for about 50% of your take-home pay on needs, 30% on wants, and 20% on savings and extra debt repayment. It is a starting point, not a law — housing costs in some Canadian cities make 50% on needs hard to reach.
What counts as a need and what counts as a want?
Needs are the bills you must pay to live and work: rent or mortgage, utilities, internet and phone, groceries, transportation, insurance, minimum debt payments, childcare and healthcare. Wants are the choices that make life more enjoyable but are not required: dining out, streaming, entertainment, clothing beyond the basics, travel, gym, personal care and coffee.
What if my needs are over 50%?
That is common, especially with high rent. The calculator shows the variance in dollars so you can see exactly how far over target you are. You can then decide whether to trim wants, raise income, or accept a lower savings rate for now and revisit it later.
Do extra debt payments count as savings?
Yes, in this calculator they sit in the Savings and Debt bucket, alongside TFSA, RRSP and RESP contributions, your emergency fund and other investing. Minimum debt payments, by contrast, are a need.
Why is my surplus negative?
A negative surplus means the spending you entered is more than your income. It is shown in red on purpose. Check for a missing income source, a monthly figure entered as an annual one, or spending that needs to come down.
Is the savings projection guaranteed?
No. It is a projection based on the annual return you enter, with monthly compounding and contributions at the end of each month. Actual investment returns vary, and the return you enter is your own assumption.
Methodology and sources
Methodology: Each bucket is the sum of the fields in it. Percentages are the bucket total divided by total take-home income. Targets are 50%, 30% and 20% of total take-home income. Variance is the actual amount minus the target amount. The savings projection is the future value of a monthly contribution at month end, with monthly compounding at the annual return divided by 12: at a 0% return it is simply the monthly amount times the number of months.
Methodology verified November 11, 2026.
How we keep this calculator honest: The bucket totals, percentages, targets and the 10- and 20-year projections are checked against hand-calculated examples, including a $6,000 income with $4,200 of needs, $700 of wants and $1,100 of savings.
Your numbers never leave your browser. This calculator runs entirely in your browser — nothing you enter is sent to us or stored.
General information only — not financial advice.
Related tools
Not sure what your take-home pay is? Start with the Paycheck Calculator. Then build your safety net with the Emergency Fund Calculator, and find money you forgot about with the Subscription Finder.