First Job Budget Calculator
Split your first paycheck the simple way — 50% needs, 30% wants, 20% savings — with real monthly and annual dollar amounts.
How it works
Needs = pay × 0.50 · Wants = pay × 0.30 · Savings = pay × 0.20
The 50/30/20 rule is a starter budget: half of take-home pay covers needs, 30% covers wants, and 20% goes to savings and debt payoff. It works well for a first job because it needs no spreadsheet — you only track three buckets. If your rent alone eats most of the "needs" half, treat the split as a target to move toward, not a hard rule.
Worked example
On $3,000 of monthly take-home pay: needs = $1,500, wants = $900, and savings = $600. Holding that 20% for a year sets aside $7,200 before any employer match or interest.
Frequently asked questions
Should the split use gross or take-home pay?
Use take-home (after-tax) pay, because that is the money you actually control. Basing it on gross pay would double-count taxes that are already withheld.
What if rent pushes my needs over 50%?
That is common in expensive cities. Start by trimming the wants bucket to protect at least some savings, and treat 50/30/20 as a direction rather than a rigid cap while your income is still low.
Does the 20% include my 401(k)?
Yes — retirement contributions, emergency-fund deposits and extra debt payments all count toward the savings bucket. If your employer matches, that match is a bonus on top.
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Educational estimate, not financial advice. Returns are assumed constant and are not guaranteed.