Get your 5 second 50/30/20 budget

What is the 50/30/20 budget?

"A budget is telling your money where to go instead of wondering where it went." - Dave Ramsey.

The 50/30/20 budget is where you split up your income into 3 key buckets:

- 50% needs (groceries, rent, utilities, repayments);
- 30% wants (shopping, dining out, hobbies); and
- 20% savings.

‍This method is an easy way of learning to manage your money. It gives you parameters to operate in and certainty about where your money is going. Not crazy on maths?

Use the 5 second budget calculator

How does this work?

Save time by working out a budget, borrowing power, home loan or investment options and other important things all in one go, without needing to be a maths genius. With Henry you just get the answers you always wanted, faster.

How do we make a budget so fast?

Well we like to say it's 5 months of work for 5 seconds of glory. But really, it's fast cause we keep it simple. Your budget is based on 50/30/20 rule (see below for more on that) and some clever math. It's not witchery, just a simple plan that is matched to your life stage and presented in a way that real people, like you, can actually stick to. We know because we've tested it soo many times.

What is a 50-30-20 budget?

The 50-30-20 budget (or rule as it’s sometimes referred) is a percentage-based budget concept that is probably the simplest, most flexible budget that applies to all stages of life. It’s based on percentages and not how much you earn, so you can easily adapt it to your own circumstances. 50% of your money goes to needs. Needs are loosely defined as necessary costs for you to live, like a roof over your head, food in your mouth, electricity, hot water, transportation, credit card and loan repayments etc. 30% goes to wants. Wants may include all those things that we enjoy but, let’s face it, could go without if we had to. Things like entertainment and social outings would fall into the wants category. 20% goes to financial goals. Financial goals are completely dependent on what’s a priority for you and your life. You may be in a situation where debt reduction is your goal, saving for something special or for unexpected expenses. Needs and wants are flexible. Financial goals are not. If you want to succeed you need to hit this 20%.

Will this affect my credit score?

No! We will not ask you to register to get your results and nothing we do on this site will even ding, check or change your credit score. So go play.

Your security. Our priority.

We always have your security in mind. Rest easy knowing your data is protected with 128-bit encryption. Also, our calculators and tools use your browser storage only, which is wiped clean as soon as you leave the site. So until you register for a service, none of your data is kept on file.

Still have questions about Henry? Get in touch

Henry Money Pty Ltd (Henry) ABN 75636786117 Credit Representative 521419 is authorised under Australian Credit Licence 384324. This website provides general information only and has been prepared without taking into account your objectives, financial situation or needs. We recommend that you consider whether it is appropriate for your circumstances and your full financial situation will need to be reviewed prior to acceptance of any offer or product. It does not constitute legal, tax or financial advice. Remember, the value of any investment can go down as well as up. You should always seek professional advice in relation to your individual circumstances. Rates and product information should be confirmed with the relevant financial institution, and you should review the PDS before you decide to purchase. Any recommendations made about a financial product are general advice only and has not taken into account your particular needs and circumstances. You should consider the Product Disclosure Statement to determine if the product is suitable for you before you decide to purchase it.

Your money, sorted