The 50/30/20 Rule EXPOSED

[@MinorityMindset]

Thank you for watching! If you enjoyed this video, you should watch - 5 WEIRD Things Making Your Finances Worse: kzbin.info/www/bejne/sGiag2uHgqh2ibM

[@chriswolf4828]

Thanks Jaspreet!! I really appreciate your videos. Hard to find someone honest and willing to share their knowledge. I’ve been trying to get my finances straight so I can start fresh and on the right path. I will definitely teach my kids as soon as they are old enough to follow your recommendations as well. Saving is definitely for losers as you point out in you videos. Public schools are worthless to be successful as they teach you nothing about finances. It’s very simple when you break it down. Thanks again 👍

[@josephhernandez3224]

Minority Mindset is buying gold a good way of saving?

[@jcabizo]

Hi Jaspreet, does your rule include retirement (e.g. 401k) or just everything after taxes and benefits deductions?

[@rabianharris1170]

I paid off $10,000 worth of my Credit cards and I got the drive from you, Jaspreet, and I am thankful for your help

[@jordynpenner9105]

Hell yeah! Congrats my guy!!

[@WarWulf778]

The 50:30:20 rule is an excellent beginner level tool for teaching responsible budgeting. It saved me from over spending and got me out of a hole. Of course I've moved on from it but I would always recommend it to someone if they claim to be "bad with money."

[@minmaxmedia]

But Jaspreet... a wise man once told me if I had $1 and I wanted to buy a pack of gum that costs $1, then I can NOT afford the gum because I don't have enough cash to buy FIVE of them :-P

[@MinorityMindset]

That is a wise decision

[@codybarnett2217]

He is saying how can he spend money to become rich if he can’t afford it 5x. I like your channel but you don’t go over what people should spend money on. Or like the other issue I see is not everyone can be entrepreneurs or KZbinrs. It’s impossible for everyone to become entrepreneurs.

[@codybarnett2217]

Everyone has to start somewhere. Some people start poorer than others. Now I am not saying that poor people can not become entrepreneurs or rich for that matter I am saying that if you can’t find a job or even if you do have a job but the living expenses are so high or if you have kids and you can’t afford to invest money in a small business it can make it extremely difficult. Not impossible but more difficult depending on a number of circumstances. But I guess you could use what you got for example if your wanting to start a KZbin channel you could use your smart phone camera until you get more money later.

[@brentpal]

@@codybarnett2217 how long have you been watching? He has videos talking about things to and not to invest in. And just like ppl such as dave Ramsey he is talking lifestyle changes as well which can lead to having more cash to invest with. I came from a very poor broken home and now i own a property which is zoned for multi housing and will be converting my detached 700sqft garage with paved alleyway parking into a rental to help me payoff and invest in other properties. Along with that i just bought a truck and will now be saving to get a food trailer to make extra money on the side to invest in more properties and businesses.

[@codybarnett2217]

@@brentpal Been watching for a while. But what I am saying is that he says that you should not buy things that you cannot afford 5x. One of those things he suggests investing in is real estate. Well if a house is 100,000 (my estimates are going to be cheaper because where I live housing is super cheap compared to the national average but wages are also much lower). That would mean I would need 500,000 dollars to afford it right? Or would that be an exception to the rule? Depending on how much money a person can save will determine how fast they reach that amount of money. But that does not account for inflation. How long will it take you to accomplish your goals of running a food truck and property?

[@gwillis01]

The 50/30/20 plan is a good transition away from the infamous lazy budget plan of 50 percent needs 50 percent wants and 0 percent savings. Some people have to struggle hard to cut down their spending on wants from 50 percent to 30 percent.

[@grecojones]

Maybe define the investments as wants

[@MinorityMindset]

That would turn things around

[@wev2344]

Nope, investments have never been in wants. Investments are considered as part of the 20%. On the other hand, this rule can be modified or customized. I’ve seen where this was made by gender. Therefore, you could do that, but the part where the 20% is not for investing is wrong.

[@iloveprivacy8167]

@@wev2344?? That doesn't even make sense (& I don't think I even want to know how you got gender into this).

[@Subie84]

I “want” big gains 😁

[@antbanks415]

Actually, the 20 percent on that budget allows you to either: pay off your debt, then save for emergencies, then after that, invest your money.

[@MarkPharaoh]

Still silly to have “wants” a higher percentage than all of that

[@shaereub4450]

That's for wants and needs. This is for spending saving and investing (saving and investing should be separate for obvious reasons).

[@gaeb-hd4lf]

@@MarkPharaoh Probably more silly is having regrets when you are old because of no enjoying life more when you were younger. Personally i think that wants:save ratio is pretty optimal (save including investments and debts payment too obviously)

[@luisdizon2486]

I was under the impression that investments counted as savings. At least, that's how the 50/30/20 rule was explained to me.

[@ryancarandang4489]

nah even still thats not good. since its competing with your savings for that percentage your actual investments and savings are effectively halved. which is no bueno.

[@TheMindofRa]

To me the system reads 50% on bills and needs, 30% consumable/entertainment spending, 20% saving and investing. Aka. Save until you have 3-6 months at least saved up in liquid capital and then invest the rest of your money into various other assets.. keep compounding until you reach a place where you can afford to live your dream lifestyle on only the interest generated by your assets... after that point donate the money you would have saved.

[@jribasvilanova]

There's another variation of this rule: - You can spend up to 50% of your income in needs. - You can spend up to 30% of your income on wants. - You must spend as less money as you can in needs or wants, and you must save or invest whatever you don't spend. - You must save or invest at least 20% of your income as soon as you get it. At the end of every month or week, you must save or invest anything left. - You must save everything you can until you have 6 months of your needs and wants saved. Then, you must invest everything else.

[@davidjd123]

thats how I do it, its a great rule to get started. its not a advance budget strategy but it works.

[@VSS1]

Take your money. Spend as little as you can. Save the rest and invest it. Spending isn't going make you happy, spending makes you poorer.

[@AdultingShouldntSuck]

But if I spend it I can have a boat. And boats make people happy... right?

[@gregcountryman8770]

Jaspreet, I just want to give you a compliment. Thank you for evolving old financial methods for the modern day.

[@wev2344]

Did I really just hear you say that this rule doesn’t allow investing? It goes more like this from what I read and learned from Elizabeth Warren’s concept: the 20% should be used to pay down debt first and then after that used to invest in your retirement. The choice is up to the individual as far as I can tell.

[@tshepim6214]

That's what I thought too. Also it's not set in stone and unchangeable, it was just a guideline. You can have 40% on needs, 20% on wants and 40% on savings which include investing too.

[@juannavarro3620]

Excatly it all boils down to the individual.

[@craigb4449]

Yeah dude didn’t get it. I flipped the 30/20 and save 30% and invest it

[@AurelioPita]

Come on, 50/30/20 it's a rule of thumb to start saving. It's nothing really wrong with it. People should adapt to their personal case.

[@princesslamour1985]

50% on debt. 30% on fixed expenses ie BILLS/groceries/ fun money. 20% savings emergency fund investing....sounds good to me. What's bad about it?

[@GenExDividendInvestor]

I like Not so Nice Jaspreet 50, Nice Jaspreet 30, and Remaining Jaspreet 20!

[@MinorityMindset]

😂😂😂

[@Themystergamerr]

That's it- I'm convinced that big business is secretly behind this budget lol

[@nomadicvibesofelle]

You're 50/30/20 rule is the same rule that I gave my daughter. I told her to follow it as long as she can while she is young and doesn't have any responsibilities. She will leave for college in a year.

[@AdultingShouldntSuck]

That’s a good rule when you’re young! How much was she able to save before heading off to college?

[@AdultingShouldntSuck]

I wonder how much that financial advice from you put her ahead of her peers for financial stability... I doubt many others were as lucky as she was to get that type of solid advice!

[@josephsebastian8499]

Thankyou Jaspreet, The biggest question that I was having about 50/30/20 or the 40/20/40 rule was hot to be saving 3-6 months of one's income. This is first video that clarified it properly.

[@aceoline]

I found your previous video on the ratios and I have been happily following them for the past two months. When I pay off my consumer debt in Feb 2020, I will reduce my spending ratio from 75% to 65% and increase the others as well. The goal is to get to 50% in 2024, after I pay off my mortgage.

[@iamnottheone3020]

After saving up a 6 month emergency fund the 50/50 plan is a WINNER for sure🙌🏾

[@felipebarron3479]

What's the 50/50?

[@AlfredoR1227]

Spend 50 and invest the other 50 👍

[@iamnottheone3020]

Yep invest the other 50 into income producing assets AFTER you have a 6 month emergency fund in place. Living below my means is 🔑.

[@vinchel118]

Sound advice, humor and colorful turbans. I love this channel.

[@Contra010]

Jaspreet's videos are always great! I always look forward to them...Good Work!

[@ChrisInvests]

If you're fine waiting until your 70s to retire, this budgeting method is probably fine 🤷‍♂️

[@MinorityMindset]

😂😂

[@akin242002]

Investing includes property too.

[@sfrealestatedealmaker6001]

Agent_WestCoast A If it creates positive cash flow yes.

[@OwnYourWEALTH]

This is the best video ever on 50/30/20. If anyone wanted to know this in more layman terms we got one too.

[@sarahgoddard2001]

I always thought that 50% went to rent, needs, bills. 30% went to investments and savings. 20% goes to emergency fund and spending. I thought mine version needs some work, but holy shit I feel accomplished after hearing this version.

[@chrisredfield3240]

Just my rent is 50% of my income. Bills on top 20%, i also have a child and food to pay for along with a vehicle.

[@JaeWest]

I'm behind. I may step it up to this one.

[@pedroaguilar4824]

I have saved my emergency fund. I still have a student loan of 32k I pay 30 over the minimum which is 550. Last two months I started paying an additional 250 since I paid off my credit cards. Which leaves me about 1400-1500 to start investing or paying off my loan. With all honesty I want to quit my job and was planning to save. I have started selling on eBay and averaging about 300 net a month part time. I know this is not enough since my monthly cost of living is 2600 a month. I feel like my mind is everywhere trying to figure out what I want to do or where to invest.

[@xcurrentbreeze6626]

You got it man. Keep doing your research, make a plan, and stick with it - sometimes everyone gets overloaded with too much information, just make a choice. I'm sure you'll do fine. Even if it doesn't work out, at least you tried and gained valuable knowledge. If it does work out, you'll be in a much better position. Do whatever will minimize your regret in the long term.

[@pedroaguilar4824]

@@xcurrentbreeze6626 much appreciated

[@iamOAKland]

Pedro Aguilar wtf... why quit your job when you haven’t paid off your Student Loan... why quit your job when you can save and invest more money from your side business....

[@leonm.burroughs4807]

Man, I love this channel.

[@MinorityMindset]

Thanks for your support!

[@thescrybe]

Once again. This is gold! So glad I found this channel!

[@Bembeleke]

The 50 is mandatory as long as it's possible the 20 is the minimum and the 30 can be adjusted to feed the 20.

[@pamelasherring1476]

Great presentation and advice as usual. I am too late to this party as I will be retiring in near future. Being a person of minority I have done reasonably well. I followed the rule of 40/60 . 40 % of after tax income spent on living expenses,60% saving only. Interest rates were better then. If I knew then what I know now I would have done better than what I have achieved. Though I have hit that magic number suggested for comfortable retirement in my employer offered retirement plan as I always contributed the max amount allowed and invested in stock market, initially 50/50 and 100% stocks for past 10 years or so.Debt and mortgage free. Keep inspiring us. Thank you.

[@TeahM]

lol i took the 50/30/20 Rule and did 50 need/20 want/30 saving&investing,

[@RupeCapone]

Mine broke down the same way. Outside of receiving a massive raise my one-bedroom apartment, insurance and utilities hit 50% on their own.

[@shaereub4450]

I make about $20K/year. Expenses are under $10K. $6K would max out my Roth IRA, which leaves me with $4K left to save.

[@BodaciousWench]

@@shaereub4450 4K left to invest

[@shaereub4450]

@@BodaciousWench the $6K/year for my Roth IRA is 30% of my income. Adding the last $4K would make it 50%

[@aaronturvey8930]

@@shaereub4450 To Invest so you can make more than 20k a year and instead compound it every year and max out more savings accounts what Roth IRAs are is basically a private retirement fund which is saving money for the future 😂with a little bit of interest

[@prome57]

My budget strategy is cruel. 300 a month is what I can spend on myself. After expenses (insurance phone debts if any and rent) everything else gets invested. Ive done this with any amount of income ive made and any time I broke this rule and splurged I paid dearly.

[@LittleHikari1]

This system works for me while I'm on low income. 50% goes straight into an account for bills and food. 30% goes into high interest savings or investments. The 20% left covers my petrol which I see as a luxury. Maybe things will be different when I'm earning more but it works for my current situation. I'm trying to live a minimalist lifestyle so I don't have unnecessary expenses

[@LittleHikari1]

Oh I just paused to write this comment at the wrong time. You literally just said what I typed!

[@AFShing3]

Tillypoo what

[@nicholasmethu8012]

I always thought 50/30/20 was 50% Living off, 30% save in case of emergencies, and 20% for investments?

[@harmanjotsingh4230]

I mean, if that is your mindset, then good, way better than traditional. It just depends on the people, whether they are literate enough to make investment a want or not.

[@RodasYonass]

Not so nice Jaspreet is the only one I'm listening to from now on. Another great video!

[@MinorityMindset]

😂😂😂

[@deangohan]

I’m a UK subscriber. You are the best. Your videos have opened so many avenues that have greatly improve my life. Most greatful keep thriving 🙏🏾

[@TheGoat-qw6jb]

Jatspreet, can you make a video about what exactly you invest in?

[@luke7842]

Sounds great in theory. But when your basic expenses come to 100% of your income its not that easy. My focus for now is just to earn more!

[@M0rdFustang]

Earning more really does work

[@Guernsey576]

I was using 50/30/20 but now my pay has increased its more 33/33/33. My needs are monthly expenses, food and petrol etc. My wants is short term savings for holidays, car maintenance etc. My savings are actually invested for retirement. It's how you interpret it.

[@victorialadybug1]

So Jaspreet, what do you think about the negative interest rates that may be coming to the US?

[@jeremysanders8512]

Always appreciate you brother! Excited to manifest every finical increase for my family, and tell you how much you’ve been part of that

[@MakTony]

Watching this made me look at my income/spending ratio. I want to save and invest more.

[@deejethwa]

Thank you for breaking down how to create a budget.

[@baileyelliott7277]

Who came up with that rule? It don’t even make any sense.

[@shaereub4450]

Make sure you control your spending habits. You spend some, save some, and invest some.

[@elizaknight6980]

I invest 50%, use 30% for both want and need, pay tax 20% :)

[@jakemf1]

Eliza Knight spot on

[@ayushpant6190]

Looks like you earn a lot XD

[@elizaknight6980]

@@ayushpant6190 not really. I only earn 38k last year. But I do have low rent :)

[@ayushpant6190]

@@elizaknight6980 could you tell me how you spend your money every month?

[@elizaknight6980]

@@ayushpant6190 my income wasn't stable last year so it is difficult to calculate. I graduated 2 years ago. I did manage to buy 3k car and invest a lot in mutual fund though :D

I use a modified 50/30/20 rule myself, 50% investing / 30% needs and wants / 20% investing for retirement

[@Off_the_clock_astrophysicist]

Another thing is that the 50/30/20 rule might have been designed at a time when putting $1 into a bank account for a year would give $1.05 at the end. In the 1990's CD's had that kind of return. When I was a child, savings accounts came close to that. In the era of zero to negative interest (as is the case now in some countries), keeping too much cash or money in the bank is not wise.

[@davehome8592]

This guys super practical and smart much respect

[@Raj-doot-online]

I'm saving buddy on 7% interest rates per year betting the inflation rate 3% for sure

[@MinorityMindset]

Wow, that's awesome

[@enigmathegrayman2953]

Happy Black Friday everyone! 👋🏿 enjoy your 50-75% 😏

[@VSS1]

Stay at home, save 100%.😂😂😂

[@enigmathegrayman2953]

Vic Sandhu Yes, that’s me save 100% a mall is no place for me to be! 👍🏿

[@enigmathegrayman2953]

Marie Michaels 👍🏿

[@akin242002]

@@VSS1 People still spend a lot from their home computer. Spend time with family and off the computer for Black Friday.

[@VSS1]

@@akin242002 yeah sorry I tried to understand that, it didn't work. Could you please reconsider your words and the order to make it easier for me understand. I would l be ever so grateful.

[@Masrex]

This is the plan I follow now because of you Jaspreet- used to only have about $150 in assets back(Oct 2018) then now I’m at $8.5k, more than I’ve ever seen in my entire life. Thanks Minority Mindset!!

[@One-Crazy-Cat]

I’m still on the 125% mess. Spending 125% of what I make.

[@harmanjotsingh4230]

Using credit cards or what?

[@joego7924]

Buying Gucci gold plated toilet paper!

[@iamOAKland]

It’s easier to spend what’s left than to save what’s left mentally.

[@bendailymoney]

I agree! The rule does not include paying debt!☝

[@FinancialShinanigan]

The only saving that will make you rich is saving that Black Lotus magic card!

[@edwiniseman4]

LOL

[@johnjara3822]

Good budgeting rule, I'm going to try it. Thank you.

[@M0rdFustang]

Excellent content, a good reminder for me 👍

[@hakimdiwan5101]

Wonderful when I first heard about 50-30-20 I thought exactly the same as you which is 50 for all spending, 30 for Investments and 20 for spending. Although irony of my life is that 90% goes into spending :'(

[@dennisrodriguez3689]

That's why I prefer the 70 ,/10 /10/ 10 % of Robert Kiyosaky. I did that and I'm leaving the poverty quickly.

[@jymnastyx]

Why can't I LIKE this TWICE? Love your content Jaspreet!

[@pamelahough3896]

I'm a big saving believer! Thanks for pointing out those man! You're an eye opener

[@oliverharris202]

So I legitimately save 70%+ of my earned income monthly (to be put towards more rental properties) and 30% goes to needs. Nothing goes on wants because I WANT to save/invest in order to become financially free. It really is just a math equation!

[@videozoom12]

After the 6 months saving how would you go about saving for something big like graduate school or 20% down for a house?

[@felipebarron3479]

Pay off all your debts first then start saving money for a down payment without touching your emergency fund

[@ICYkoncept]

Send a hefty portion of your 6mo fund to a high yield account (some online banking place). Leave a portion of that in your checking acct in case of larger right now emergencies. For your big purchase savings, you can either go to a financial company for a managed account (i'm sure a lot of ppl are against this, but if you wanna do 0 work this is easiest). Otherwise invest in what ppl consider ultra safe funds (SPY, DVY, etc). This way your money is generally safe, liquidatable when necessary, and gets some growth.

[@gangatalishis]

long story short dont just keep saving, invest. got it.

[@benforwho]

Great common sense advice as always, but, I will continue to buy the premium toilet paper! 👍

[@MinorityMindset]

😂😂

[@M0rdFustang]

Same lol, life is too short to wipe with shitty toilet paper Pun fully intended

[@francois3116]

May I suggest that you add at least the Spanish and French subtitles, sothat people around the world who do not understand English could benefit your great videos please. Thank you ! 🌍🌎🌏

[@MinorityMindset]

thanks for the tip!

[@edsonhuitrado3577]

Minority Mindset I speak Spanish I can help you translate:)

[@Poopaduke112]

So according to this I should: Spend 2,600/Mo on needs Spend 1600/Mo on wants Save 1065/Mo in savings What I actually do Spend 1300/Mo on needs & wants. Invest 4030/Mo into stock protfolios, my real estate, and debt paydown. Whats a savings account?

[@devoywilliams3956]

what you do for a living.

[@mauiwaui773]

Notifications coming in clutch this morning! Nobody likes not so nice Jaspreet! lol

[@ro-zmo9289]

I ❤️ that FACT that you are so funny 😂🤣😂 ...oh and pretty smart too! Keep up the videos and i will keep sharing your stuff.

[@nicholasbackwell1869]

How do you incorporate your financial strategies into an inbox system like the traditional envelopes or a digital inbox solution like YNAB or DR Every Dollar?

[@mosesalofokhai]

With all due respect but your rule should always include a savings portion because 6 months expenses is valid for the first year but because of inflation this time frame will keep going down over time. I would have thought you continue to save but did so at a lower rate ( 3% to offset information) but hey thats just a theory a money theory aaaaaand cut

[@Alona86]

I would change that 30% to investments. Want will have to be in the 50% so 45% on needs and 5% on wants.

[@jamie49868]

Any plan is better than no plan. Developing the "saving" habit is the important thing. Once you figure out your budget, and are able to save, then you can start investing. You have to learn to crawl before you walk.

[@thefozzybear]

The %100 percent rule. If a clothing store has signs saying save %50 when you buy 2 or more, don't buy anything and save %100.

[@RAndomlyEntertained]

You speak truth and extremely humorous with it.

[@insidedadshead9691]

Rich people don’t save in savings accounts, they don’t invest. That’s how they get rich.

[@gwillis01]

I both save and invest with my money. My savings is my comfort and my security blanket. My income from investing improves my life and builds my dreams.

[@TCTALKSTCFITNESS]

💯💯💯

[@bernadettekariem5902]

Thank you.

[@metalMARCUS1]

Ok I get it and I can do that! But how do I invest and what do i invest in??

[@Rocioslane]

Wow this makes so much more sense

[@thomasthorne4010]

Greetings. I'm a 50-30-20 budget user and the one thing I wish to talk about is investing. Let's be real for a moment. Warren Buffet didn't become ...... Warren Buffet overnight. It took just about all his life and he was a very disciplined investor that got started as a child with a pinball machine. Very popular at that time. You spoke of bank accounts which DO OFFER very low APY. We agree on that. BUT, outside of traditional investing which may constitute stocks ( Understand the Rule of 72 ), yes, you can invest in one stock per paycheck for 30 years and you might see a return if the market don't crash ( it's happened ). But we are STILL talking a 30 year period. There are MANY online accounts that offer good APYs one is the 360 from Capital One. No I don't work for the company but I'm offering my first hand Knowledge of it because I have two accounts..... mine offer 2 percent and my son offers 1 percent. Yes, inflation is is currently 1,8 PERCENT. I check once monthly so at 2 PERCENT APY you are ahead of the game. Now this is where it gets interesting. An old book called The Richest Man In Babylon suggest you save 10 percent of your income. Now sure, that was good at the time The book was written and we don't live in 1959 anymore. But 10 percent takes you over inflation ( if that worries you so much ). According to 50-30-20, yes 50 goes to the house ..... 20 percent I pay myself first and 30 covers everything else to include spending and other bills. The SECRET FORMULA that Einstein said was the greatest ever is Compound Interest. With regular savings or paying yourself first combined with Compound Interest and being very ..........wise in your habits, one can be very financially secure. Fact is, instead of knocking a method ......teach how it can benefit you with certain adjustments that are built into the 50-30-20 Rule. Also, another ' trick ' to beat inflation is to pay yourself an increase of 3 percent annually .....yes, give yourself a raise to cover inflation. Just add the cost into your monthly savings. This is what I do and I have no worries about this inflation demon ...... LOL !!!!! But with a little research which we ALL are doing. That's why we are on your page and listening to all information and applying to your life ...... anybody can be Financially successful. You first gotta want it

[@VisualsByMikal]

Trigger, trigger, trigger! 🤣🤣🤣

[@lnevinan]

The problem with set limit plans is that it gives the mentality that you HAVE to have a set amount for each section. So you may be spending less than the percentage and be fine with this but then according to this rule you have to spend more. So it’s better to just try and spend as little as possible in consumables while trying get the maximum as possible with that money and spend most of the rest in investments. Edit: Actually I think you made a point similar to that

[@ICYkoncept]

if you are well ahead of these suggestions, ie you spend less than what's allotted, you invest more than what's suggested...likely you never needed this video, you are already doing great, and its a great ego boost. I'm not sure anyone here is gonna be like I only spent 10% of my income, better go buy a bunch of stuff.

[@aaron_anil]

Hello jaspret, im new to this channel. I understand that this video is 3-years old, but i have one query with regards to your 75/15/10 rule? Which category does mortgage payment fall under?

[@RamaSivamani]

Question where would your put genrosity and donations in your budgeting? Do you budget seperately for that or does that simply fall into the 50% spending? Would you think it is better to create a 40/30/20/10 rule if your goal is to pay it forward in life with atleast 10% of your income? I ask because you set the spending percentage as a maximum but you set the investing and saving percentages as a minimum. My method sets the 10% generosity as a minimum so that's why I am wondering if for those people who say giving back is important to them in life that creating a 40/30/20/10 budget is better.

[@stuarthirsch]

Saving is even worse than just losing to inflation. You also pay income taxes both federal and state on the little interest you do get. This in effect can reduce your interest by up to half.

[@brookswoodward7278]

Good stuff.... Hopefully more people take your advice.

[@chemquests]

I think the intent is to limit spending on wants to 30%, but it could be less. The 20% obviously includes investing; many Americans don’t save/invest at that rate. You might be surprised how many find it challenging to limit their spending in this manner & would serve as a starter budget.

[@TeddyRen]

This ain't the rule I was taught. I was taught take the 20% for liquid savings like emergency fund and once I finish that then I can use it for myself but the 30 is savings that is put into investments and IRAs

[@gaganonyoutube]

"and nobody likes not so nice Jaspreet"👏😄

[@minorityminds4078]

50 percent invest,30 percent saves,20 percent need and wants

[@ProgrammingwithPeter]

Wait, the budget means that you have a MAX budget for that category, not that you SHOULD spend that much money. I got it wrong ?

[@keheungan]

I do 50/10/40. 50 investing, 10 saving, 40 expense

[@fireknight673]

Very very sound advice listen to this guy please

[@TWIM1971]

Hey Jaspreet what do you think about getting to the point where you can set up to do 30/60/10?

[@gabrielsanchez4207]

What if you want to save for a down payment for a house? Where does this come in? 🤔

[@aadityas.9820]

Thank You Jaspreet. :)

[@MinorityMindset]

You're awesome!

[@Solythetree]

Hmm. I thought the 50/30/20 rule was spend NO MORE than 50% on needs, NO MORE than 30% on wants, and save AT LEAST 20%.

[@jordandennis1699]

His 50/20/30 method is more of an ideal goal to aim for.

[@TheRealShaiLamar]

LOL I’m so glad you said that breakdown was terrible because I was thinking “omg what is he talking about” at first😂😂 hahaha what a Legend💎🔥

[@MinorityMindset]

😂😂