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Build A
Better Budget

Whether you’re taking charge of your finances for the first time or you’re a seasoned budgeter looking for extra insight, seeing your full financial picture is the best way to determine how to grow, save, and achieve your financial goals.

To help balance your budget, here are 3 ways of approaching your income, based on level of detail.*

*These budget structures are intended as a tool.

1

General Approach:
The 60% Solution

60%: Committed Expenses

30%: Savings

10%: Fun

Source: Richard Jenkins, “A simpler way to save: the 60% solution?,” MSN Money

2

Balanced Approach:
The 50-30-20 Plan

50%: Needs

30%: Wants

20%: Savings & Debt Payments

Source: Elizabeth Warren and Amelia Warren Tyagi, “All Your Worth: The Ultimate Lifetime Money Plan”

3

In-Depth Approach:
The Total Budget Breakdown

30-45%: Housing

5-25%: Savings

  • 10-20%: Food
  • 7-9%: Transportation
  • 5-10%: Insurance
  • 5%: Health Care
  • 1-2%: Education
  • 10-20%: Food
  • 7-9%: Transportation
  • 5-10%: Insurance
  • 5%: Health Care
  • 1-2%: Education

30-45%: Living Expenses

0-20%: Debt

  • 10-20%: Food
  • 7-9%: Transportation
  • 5-10%: Insurance
  • 5%: Health Care
  • 1-2%: Education
  • 10-20%: Food
  • 7-9%: Transportation
  • 5-10%: Insurance
  • 5%: Health Care
  • 1-2%: Education

Source: Dave Ramsey, “The Total Money Makeover: A Proven Plan for Financial Fitness”

What does that look like for you?
Enter your monthly net income:**

$ /Month

Please enter a valid number.

**Monthly Net Income is the amount of money that ends up in your account once any additional expenses are removed from your paycheck (or other income source). These could include taxes, 401(k), health care, life insurance, dependent care, flex spending, wage garnishment, etc.

HERE ARE YOUR SAMPLE BUDGETS:

1

The 60% Solution

$2,4000

COMMITTED EXPENSES

$2,4000

SAVINGS

$2,4000

FUN

2

The 50-30-20 Plan

$2,4000

NEEDS

$2,4000

WANTS

$2,4000

SAVINGS & DEBT

3

The Total Budget Breakdown

num

HOUSING

num

SAVINGS

num

LIVING EXPENSES


  • 10-20%: Food
  • 7-9%: Transportation
  • 5-10%: Insurance
  • 5%: Health Care
  • 1-2%: Education
  • 10-20%: Food
  • 7-9%: Transportation
  • 5-10%: Insurance
  • 5%: Health Care
  • 1-2%: Education

num

DEBT

How does that compare to your current spending?

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Make a breakdown to track your current spending and where you can adjust to meet your budget goals.


ASK YOURSELF:

Where can you cut back (not out)?

Where can you compromise?

If you don’t have a lot of wiggle room, take a hard look at your bigger budget items.

Is it time to move to a lower-cost housing situation?

Do you need to trade in your car for something economical?


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Unexpected life events happen to everyone—and not being prepared can be harmful to your financial position, yourself, and even your family.


With a budget in place, you’ll be able to:

Reduce Debt

And increase savings

Meet Your Goals

To achieve greater financial health

Protect Yourself

In case of unexpected life events

Take action on setting up your budget today!

YOU DON’T HAVE TO DO IT ALONE.

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