Simple Money Management with the 50/30/20 Rule

[andrew]

Using the 50/30/20 rule, I allocate 50% of my income to needs like rent and groceries, 30% to wants such as dining out and entertainment, and 20% to savings and debt repayment. For instance, with a $3,000 monthly income, I spend $1,500 on necessities, $900 on discretionary items, and save or pay off $600 in debt.