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13 experts weigh in on Elizabeth Warren's 50-30-20 spending rule

GOBankingRates Logo By Gabrielle Olya of GOBankingRates | Slide 1 of 25: Sen. Elizabeth Warren wants to make fixing the U.S. economy a priority if she becomes president, and she has a plan to do it. But long before she was running for president, Warren was a personal finance expert hoping to help the average American take control of their finances. She even co-authored two books on the subject. Her 2005 New York Times bestseller, “All Your Worth: The Ultimate Lifetime Money Plan,” includes her popular budgeting rule, the 50/30/20 budget. According to the 50/30/20 rule, 50% of your income should be dedicated to monthly expenses that are needed, such as housing, transportation and groceries; 30% can go toward wants or discretionary spending; and 20% should be dedicated to savings.
But does this personal budget rule actually work for Americans today? And what are the pros and cons of sticking to it? GOBankingRates talked to personal finance experts to get their opinions on Warren’s monthly budget rule. Here’s what they had to say.

Not all financial pros agree with this budgeting plan

Sen. Elizabeth Warren wants to make fixing the U.S. economy a priority if she becomes president, and she has a plan to do it. But long before she was running for president, Warren was a personal finance expert hoping to help the average American take control of their finances. She even co-authored two books on the subject. Her 2005 New York Times bestseller, “All Your Worth: The Ultimate Lifetime Money Plan,” includes her popular budgeting rule, the 50/30/20 budget. According to the 50-30-20 rule, 50% of your income should be dedicated to monthly expenses that are needed, such as housing, transportation and groceries; 30% can go toward wants or discretionary spending; and 20% should be dedicated to savings.

But does this personal budget rule actually work for Americans today? And what are the pros and cons of sticking to it? GOBankingRates talked to personal finance experts to get their opinions on Warren’s monthly budget rule. Click ahead to see what they had to say.

© Charlie Neibergall/AP / Shutterstock.com

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