Typical household budget percentages
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You'll allocate most of that to housing, transportation, and food. In this sample budget, half your monthly paychecks amount to $1,500. Here's a look at your set-up costs through the lens of the 50/20/30 rule.
![typical household budget percentages typical household budget percentages](https://i.pinimg.com/originals/de/e5/8f/dee58f9dcffb35df09be14685bf81023.jpg)
Since beginning the next phase in your life, there are things you'll have to spend on right away. How much of that can you spend on each expense? The Consumer Financial Protection Bureau recommends the 50/20/30 rule: Spend half your take-home pay on needs, 20 percent on savings and paying off debt, and no more than 30 percent on things you want. Needs, Debts, Savings, and Wantsĭepending on what state you live in, gross income of $55,000 a year turns into take-home pay of around $3,000 per month.
![typical household budget percentages typical household budget percentages](https://i.pinimg.com/originals/9f/21/c6/9f21c6319a56055b898eaec818145286.jpg)
That's just about the average starting salary for the class of 2020. If you’ve graduated and are still on the job hunt, it’s even more critical to create and stick to a budget, and you’re not alone, more than 45% of 2020 graduates were still looking for work as of May 2021.īelow is a sample budget for a new graduate earning $55,000 a year. For too many new grads, spending outstrips new income, resulting in too much debt. If you are starting a new job, you may have more income than ever before - but also more expenses. Lots of things will be different after graduation, so it’s crucial to start with a budget that will transition with you. One day you're tossing your graduation cap in the air, and the next day, you’ve moved on to the next phase of your life.