I have used a compilation of several sources and my own experience to derive the
suggested percentage guidelines. However, these are only recommended percentages and will change dramatically if you have a very high or very low income. For instance, if you have a very low income, your necessities percentages will be high. If you have a high income, your necessities will be a lower percentage of income, and hopefully savings (not debt) will be higher than recommended.
ITEM ACTUAL % RECOMMENDED %
CHARITABLE GIFTS 10-15%
SAVINGS 5-10 %
CLOTHING 2 -7%
Printed with permission from THE TOTAL MONEY MAKEOVER by Dave Ramsey