How to
How to create a monthly budget
A budget is just a plan for your money before the month spends it for you. The simplest durable method is 50/30/20: needs, wants, savings.
Here's how to build one.
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Balance - Expense Tracker by Clarzen on Google Play
- 01
Start with take-home income
Use your actual in-hand monthly income as the base — not your CTC or gross figure.
- 02
Cover needs first (about 50%)
Allocate to essentials: rent, utilities, groceries, transport and EMIs.
- 03
Cap wants (about 30%)
Give lifestyle spending — dining, shopping, entertainment — a firm ceiling.
- 04
Protect savings (about 20%)
Move savings and investments before you spend, so they aren't just what's left over.
- 05
Track against it
A budget only works if you watch it. Track actual spending against each category through the month.
Try the numbers first
Not sure what 50/30/20 looks like on your income? Use our free 50/30/20 calculator to get the amounts in your currency, then set those as budgets.
Doing it with Balance
Balance lets you set these category budgets, plan around your salary date, and track live against them — with nudges when a category runs hot.
Frequently asked questions
What is the 50/30/20 budget rule?
Split take-home income into 50% needs, 30% wants and 20% savings. It's a simple starting framework you can adjust — try our calculator to see the amounts for your income.
Is Balance free?
Yes. Balance is free to download and use, with no ads. Everyday tracking — adding expenses, automatic capture, bills and subscriptions, accounts and CSV export — is free, and it isn't a trial that runs out.
Keep exploring
Track every expense. Ask anything.
Free to download, no ads, no bank login. Get Balance on Google Play and start tracking in minutes.
