An Example of the 50ቺተ Plan. Let's say your total take_home pay each month is ū귔. Using the 50┺┰ rule, you can spend no more than ũ껎 on your needs per month. You probably can't afford a ũ귔_a_month rent or mortgage payment, at least not unless your utilities, car payment, minimum credit card payments, insurance premiums, and other necessities of life don't exceed 趚 a month.
Budgeting and Personal Finance. Budgeting is the primary way that you can take control of your finances. Simply put, a budget is a written plan for how you will spend your money. You can create a monthly or an annual budget. The budget allows you to make financial decisions ahead of time, which makes it easier to cover all your expenses throughout the year. Budgeting consistently can help you turn your finances around and begin to build wealth.