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The 50-30-20 Budget
The 50-30-20 rule divides take-home income into 50% for needs such as rent, food and bills, 30% for wants such as eating out and entertainment, and 20% for savings and investments.
Why It Matters
It is not a law of nature, but it is a far better default than no plan at all.
In India
On a first salary of ₹40,000 a month, that means ₹20,000 for needs, ₹12,000 for wants and ₹8,000 for savings.