The 50/30/20 rule is the simplest budget I know. Here is how I adapt it for someone who also holds crypto.
50% needs: rent, food, EMIs, insurance, transport. If this crosses 60%, the problem is not your investing, it is your fixed costs.
30% wants: eating out, travel, gadgets, subscriptions. Guilt free, as long as it stays inside the line.
20% future: this is where the twist comes in.
Out of that 20%, I split it like this:
10% to boring compounding: index funds, EPF or PPF, SIPs.
5% to Bitcoin and large caps, bought monthly, no timing.
5% to the emergency fund until it reaches 6 months of expenses, then to whichever bucket needs it.
Altcoins and trading do not get a budget line. They come out of the 30% wants, because that is what they are for most people: entertainment with a chance of profit.
Harsh, maybe. But it keeps one bad month from touching the money that actually builds your life.
What does your split look like right now, honestly?
Education only, not financial advice.
$BTC #PersonalFinance #Budgeting #MoneyBasics
50% needs: rent, food, EMIs, insurance, transport. If this crosses 60%, the problem is not your investing, it is your fixed costs.
30% wants: eating out, travel, gadgets, subscriptions. Guilt free, as long as it stays inside the line.
20% future: this is where the twist comes in.
Out of that 20%, I split it like this:
10% to boring compounding: index funds, EPF or PPF, SIPs.
5% to Bitcoin and large caps, bought monthly, no timing.
5% to the emergency fund until it reaches 6 months of expenses, then to whichever bucket needs it.
Altcoins and trading do not get a budget line. They come out of the 30% wants, because that is what they are for most people: entertainment with a chance of profit.
Harsh, maybe. But it keeps one bad month from touching the money that actually builds your life.
What does your split look like right now, honestly?
Education only, not financial advice.
$BTC #PersonalFinance #Budgeting #MoneyBasics