The 80/20 budget rule is a simplified financial planning strategy that aids individuals in managing their finances effectively while emphasizing the importance of saving. This budget plan is a more streamlined version of the 50/30/20 budget rule.
The concept of the 80/20 budget rule is straightforward. After-tax income is divided and allocated in the following manner:
- 20% is set aside for savings
- The remaining 80% is utilized for all other expenses
For those interested in further understanding budgeting and financial management, consider the following resources:
- Union Budget 2021 – 22: A Detailed Overview
- Union Budget: Key Economic Terms You Should Know
| Additional Resources | |
| 100 Essential Differences for UPSC IAS Prelims Preparation | Master the UPSC IAS Mains Answer-Writing for 2021-22 |
| Comprehensive Guide to Free IAS Preparation | Comprehensive Indian Economy Notes for UPSC Preparation |
| A Detailed Look at the UPSC Exam Pattern | Daily Video Analysis: The Hindu |