Zero-based budget calculator
Give every dollar a job. Enter your take-home pay for the month, assign it across your categories, and keep going until the number at the bottom hits zero.
Left to assign
$180
Assign the rest to savings, debt or a sinking fund.
Assigned $3,020 across 7 categories.
Making a zero-based budget stick
The first month is always wrong, and that is fine. Build it from your last statement rather than from what you think you spend, then adjust as real charges arrive.
The two categories people forget are irregular annual bills and small everyday spending. Cover the first with a sinking fund and give the second a deliberate line so it stops eating the rest of the plan.
How to build a zero-based budget, step by step
- 1
Start with the income you will actually receive
Use take-home pay for this month only. If your income varies, budget the amount you are confident about and assign anything extra when it arrives.
- 2
Cover fixed bills first
Rent or mortgage, utilities, insurance, subscriptions and minimum debt payments. These are non-negotiable, so they get assigned before anything else.
- 3
Fund the irregular costs
Add lines for annual bills, car maintenance and gifts using a sinking fund amount, so those months stop breaking the plan.
- 4
Assign the everyday spending
Groceries, fuel, eating out and fun money each get a deliberate number rather than whatever is left over by accident.
- 5
Drive left-to-assign to zero
Send the remainder to savings, debt or a goal. Zero left to assign means every dollar has a job — it does not mean your account is empty.
Assumptions this calculator makes
- One calendar month at a time — this is a plan, not a forecast of future months.
- Income is net (after tax and deductions), not gross.
- Money assigned to savings and debt counts as assigned, so a balanced budget reaches exactly zero.
- Building the first month from last month's statement is far more accurate than estimating from memory.
Frequently asked questions
- What is zero-based budgeting?
- Zero-based budgeting means assigning every dollar of income to a category — spending, bills, saving or debt — until nothing is left unassigned. Income minus assigned equals zero. It does not mean spending everything; savings and debt payments are jobs too.
- Is a zero-based budget the same as envelope budgeting?
- They are closely related. Zero-based is the rule that every dollar gets assigned; envelopes are the method — each category holds a set amount and you spend from it until it is empty.
- What if I overspend a category?
- Move money from another category rather than ignoring it. Covering an overspend keeps the budget honest and shows you which categories were unrealistic.
Keep your budget balanced every month
Import a statement and MoneyQuilt categorises the spending against these envelopes automatically, so you can see where the plan drifted while there is still time to fix it.
Free to start · no card required