Off The Beaten Track

50/20/10 Principle

Basic Budgeting Guidelines

June 8, 2015 // 1 Comment

Having financial goals is vital if you ever want to have some semblance of financial stability while working towards fulfilling your dreams, whatever they may be. This is why at the core of a solid financial plan, setting up a proper budget is essential. A budget helps you have a complete view of your finances and reveals any blindspots that might delay progress towards achieving your financial goals. The trick with creating a budget is that you have to be honest with yourself at all times. [...]

Budgeting101: Understanding the 50/20/30 Principle

June 3, 2015 // 0 Comments

A lot of people are not quite sure how to allocate costs when budgeting. How much should go to to household and living expenses? Entertainment? To put a particular amount is tricky because income scales differ. Entertainment for a person who earns R10,000 a month isn’t the same as entertainment for someone who earns R60,000 a month. The 50/20/30 principle gives you a little guidance on how you should split up your budget. The 50 Percent: The Essential Expenses Half of your income should [...]