Ok well let's start with something easy Needs. I the most important so you will use 50% of you net income also known as you pay check.
That's because Needs are like rent, groceries, etc basically Needs is anything you can't live without.
Patience we'll get to that next, in the mean time do you have any question for Needs?
Actually I do why is Need 50% and the others are less?
Ok it's starting to make a little more sense but if there's three different sections and Needs is 50% then how do I split the other 50?
Ah I get it now!!
Now for wants you will put 30% of you income in Want. that way if you ever want to treat yourself you will have money to pay kind of like this meal we had.
Yes ma'am! That way next time we hang out you also can spend your own money!
Because you need to put the rest of that money into your Saving!
I can't wait! But what do I do about the extra 20% why can't I just put it in with the Wants?
Wait, so your telling me that even with paying off my bill and other important things I can still spend it on myself as a reward!?
Well the one main reason for it is because you never know when there'll be an emergency.
Well ow you know hoe to budget have fun now and live your life how you want!
Your going to need that extra money just incase something happens.
Ah I get it now that makes a lot of sense now!
So I'm supposed to put the rest of the money into my savings but why?