Your free resource is ready

The Budgeting Cheat Sheet

Every formula, ratio, and rule of thumb you need to stop guessing and start knowing where your money goes.

One page.  ·  Bookmark it. Print it. Keep it.

💡 Tip — bookmark this page or use your browser's print function to save as PDF.

The Foundation

50 / 30 / 20 Rule

50%
Needs
Rent, groceries, utilities, minimum debt payments, insurance
30%
Wants
Dining out, subscriptions, hobbies, travel, clothing beyond basics
20%
Savings & Debt
Emergency fund, retirement, extra debt payments, investing
÷ 12
Annual → Monthly
Divide any yearly expense by 12 to get the monthly cost

Quick Math

The Formulas

Net Worth
Assets − Liabilities = Net Worth Assets: cash, investments, property value / Liabilities: debt you owe
Savings Rate
(Monthly Savings ÷ Monthly Take-Home) × 100 Target: 20%+. Even 10% beats 0%. Start wherever you are.
Debt-to-Income Ratio
Monthly Debt Payments ÷ Gross Monthly Income Under 36% is healthy. Over 43% is a red flag. Lenders use this.
Emergency Fund Target
Monthly Expenses × 3 (minimum) to × 6 (better) Keep it in a high-yield savings account, not checking.
Monthly Take-Home Estimate
Annual Salary × 0.72 ÷ 12 Rough estimate after ~28% tax. Adjust for your actual rate.
True Hourly Rate
Annual Salary ÷ 2,000 = $/hr 2,000 = 50 weeks × 40 hrs. Use this to evaluate purchases.

Spending Limits

Healthy vs. Danger Zones

Category Healthy Watch Out Warning Notes
Housing ≤ 28% 29–35% > 36% % of gross income (rent + utilities)
Transportation ≤ 10% 11–15% > 15% Car payment + insurance + gas
Food (total) ≤ 12% 13–18% > 20% Groceries + dining out combined
Subscriptions ≤ 3% 4–6% > 6% Audit these every 6 months
Credit utilization < 30% 30–50% > 50% % of available credit limit used
Total debt payments < 20% 20–36% > 43% % of gross income (all monthly minimums)

Rules to Live By

The Shortcuts

💸
Pay yourself first
Move savings to a separate account the day you get paid. Spend what's left. This one habit outperforms every budget spreadsheet.
🏦
Match > Debt > Invest
Always capture your full employer 401k match first. Then pay high-interest debt (>7%). Then invest anything left.
🔢
The 1% car rule
Monthly car payment should be ≤ 1% of annual take-home. Earning $50k? Keep payment under $500/mo — ideally under $350.
⏳
The 24-hour rule
For any unplanned purchase over $50, wait 24 hours. Over $200, wait a week. Most "wants" disappear. The real ones don't.
📈
Rule of 72
Divide 72 by your interest rate to estimate years to double your money. 8% returns? 72 ÷ 8 = 9 years to double.
🚫
Zero-sum budgeting
Assign every dollar a job. Income − all categories = $0. "Unassigned" money doesn't get saved — it disappears.
🏠
Rent vs. own break-even
Home price ÷ Annual rent = price-to-rent ratio. Under 15: likely better to buy. Over 20: renting often makes more financial sense.
🎯
15% retirement target
Save 15% of gross income for retirement (including employer match). Starting late? Add 1% for every 5 years after age 25.

Maintenance

Monthly Money Checklist

At a Glance

Key Numbers to Know

Emergency Fund
3–6 months of expenses
High-yield savings only. Do not invest this. Job loss + market crash can happen at the same time.
Credit Score Tiers
800+ Exceptional · 740+ Very Good · 670+ Good
Lower scores cost you thousands in higher interest rates on mortgages and car loans.
401k Contribution Limit (2025)
$23,500/year
+$7,500 catch-up if you're 50+. Roth 401k available at many employers — worth it if you expect higher income later.
Roth IRA Limit (2025)
$7,000/year
Phase-out starts at $150k (single) / $236k (married). After-tax money grows and withdraws tax-free.
HSA Contribution Limit (2025)
$4,300 individual · $8,550 family
Triple tax advantage: pre-tax in, tax-free growth, tax-free out for qualified medical expenses.
High-Interest Debt Threshold
Any rate > 7%
Paying off 20% APR credit card debt is a guaranteed 20% return. No investment reliably beats that.
Want to go deeper?

The full SkillPages library

Practical guides for the stuff nobody teaches you. Budgeting, home repairs, meal prep — covered in under 30 minutes each.

💰
Budget Like an Adult
Personal finance basics in 20 pages — no jargon, no filler
$9 →
🔧
Home Repairs 101
Fix the 10 things that always break — before calling a plumber
$12 →
🍱
Meal Prep for One
A week of food in 2 hours — cut your grocery bill in half
$17 →