A2M : $7.43
AFI : $6.63
AGL : $9.55
AIA : $6.74
ALD : $34.13
ALL : $47.99
ALQ : $21.40
ALX : $4.33
AMC : $55.04
ANZ : $36.26
APE : $23.27
ARG : $8.62
ASX : $59.68
AZJ : $4.18
BEN : $10.59
BHP : $56.08
BSL : $29.22
BXB : $21.91
CAR : $25.80
CBA : $174.49
CDA : $35.47
CGF : $8.51
CMM : $11.49
COH : $97.24
COL : $23.02
CPU : $30.10
CSL : $130.55
CWY : $2.35
DNL : $3.22
DOW : $7.49
EDV : $3.48
EVN : $12.85
FMG : $19.83
FPH : $29.54
GGP : $13.86
GMD : $6.31
GQG : $1.64
HUB : $83.68
HVN : $4.55
IAG : $7.26
IFT : $10.09
IGO : $7.06
JBH : $76.08
JHX : $30.91
LNW : $121.50
LTR : $2.24
LYC : $18.30
MCY : $5.46
MEZ : $4.67
MIN : $59.31
MPL : $4.65
MQG : $232.81
NAB : $40.14
NEM : $156.14
NST : $21.88
NWL : $24.08
NXT : $14.96
ORG : $12.73
ORI : $21.20
PDI : $0.96
PDN : $12.60
PLS : $5.80
PME : $138.83
PRU : $5.55
QAN : $8.43
QBE : $22.44
QUB : $5.04
REA : $170.22
REH : $13.69
RHC : $39.88
RIO : $170.89
RMD : $30.80
RMS : $3.74
RRL : $7.38
S32 : $4.32
SDF : $4.27
SEK : $14.63
SFR : $17.09
SGH : $40.34
SHL : $20.29
SIG : $2.81
SOL : $42.21
STO : $7.81
SUN : $17.10
TLC : $5.55
TLS : $5.37
TLX : $14.90
TNE : $29.05
TPG : $4.33
VAU : $4.75
WBC : $38.99
WDS : $32.63
WES : $74.22
WGX : $6.07
WHC : $7.95
WOR : $11.89
WOW : $37.98
WTC : $44.35
XRO : $81.62
YAL : $7.18

How to budget using the 50/30/20 method

This is a great strategy for anyone who wants an easy and structured budgeting method.

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To achieve our financial goals, we need to know where our money is going. This is why having a budget is so important.

What’s even more important is to find a budget that matches your personality.

The 50/30/20 budget method is ideal for people who like tracking expenses and want to follow a guideline.

Although it’s called the 50/30/20 method, you can change the percentages so they work for you.

Here’s how it works:

Think of your money as going into three different buckets.

Bucket number one is for your needs. 50% of your take-home pay goes towards your essential expenses like housing, groceries, transportation, utilities and other general expenses. Try your best to keep your needs to around 50% of your budget.

Bucket number two is for your wants. 30% of your money should go towards travel, subscriptions, and discretionary things like dining out with your family and friends. Try to keep your wants to 30% of your budget.

Finally, bucket number three is for your savings and also for paying down debt. This remaining 20% of your money can go towards an emergency fund, investing for retirement, paying down loans, or really any other financial goals you may have.

So, 50% for your needs, 30% for your wants, and 20% for your savings. That’s the 50/30/20 budget.

Most importantly, feel free to personalise it! 50/30/20 is just a guide.

You can vary the percentages and create a plan that works with your income and your obligations.

You might just be starting your savings journey … and 20% may seem unattainable. Or maybe you can save more than 20%, and that's also great. What matters is that it needs to work for you.

The bottom line

The 50/30/20 method is a solid strategy for you to organise your cash flow.

You make progress towards your goals with your savings, but also enjoy the journey with your wants.

 

 

 

 

Vanguard
October 2023
vanguard.com.au