The 50/30/20 rule puts half of take-home pay to needs, 30% to wants and 20% to saving and investing. Adjust the shares to your life; the tool turns the investing share into a monthly plan and shows where an emergency fund fits first.
Monthly take-home₹1.2 L
₹
Needs50%
%
Rent or EMI, food, utilities, transportWants30%
%
Eating out, travel, subscriptionsSave and invest20%
%
Emergency fund held₹0
₹
EF target (months)6 mo
mo
Expected return12%
%
Results
Invest a month₹24,00020% of ₹1.2 L
Needs₹60,00050%
Wants₹36,00030%
Emergency fund₹3,60,00015 mo to build
In 10 years₹56 Lat 12.0% return
In 20 years₹2.4 Crat 12.0% return
Insurance premiums are needs, not investments; an EMI above about 40% of income squeezes everything else.
The split
Assumptions & formula
Needs / wants / invest = income × share · Emergency fund target = months × needs · the investing share projected as a monthly SIP at the return entered- Take-home pay after tax and EPF; the shares are a starting rule, not a prescription.
Calculators are for information and planning. Outputs depend on the inputs and assumptions you enter and are not a recommendation to buy, sell or hold any security or product. Streetgains Technologies Private Limited is a SEBI Registered Research Analyst (INH000017082); it is not a loan provider, tax adviser or mutual fund distributor.