The 50/30/20 rule is a simple way to budget your after-tax income. You spend 50% on needs, 30% on wants, and 20% on savings and debt payoff.
Needs include rent, groceries, utilities, and minimum debt payments. Wants are dining out, entertainment, and hobbies. Savings covers emergency funds, retirement, and extra debt payments.
If your current split is off, you can adjust gradually. The goal is to make your money align with your priorities.