Say you earn £35,000 a year, for example, your monthly income of £2,109 after tax (allowing for an 8% pension contribution) would be divided: ![]() ![]() ![]() If your earnings change from month to month, look at your bank statements for the last 3 months to calculate your average monthly income.īased on your income, calculate how much you should ideally allocate for each of the three categories. This will most likely be your salary if you're working, though you may have income from investments or state benefits. Look at how much money you have coming in each month. ![]() Budgeting with the 50/30/20 rule How to use the 50/30/20 budgeting rule
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