Budget Builder Calculator

This is a simple calculator to illustrate the principle of budgeting from an education point of view.

Mr. Prospect let's review a simple example of how budgeting works.  What is your gross annual income and effective tax rate?  Okay, that means you have a monthly net income of $xxxx.

Now let's add in your monthly fixed expenses like rent, transportation, insurance, phone, etc.

Okay, after paying for these expenses, you now have $xxxx discretionary spendable income for all other expenses or saving.

Each value is calculated as follows:

Monthly Net Income = (Annual Income / 12) * (1 - Tax Rate).

Monthly Spendable Income = Monthly Net Income - sum of Monthly Expenses.