One of the most widely used methods for organizing expenses and investments is the 50/30/20 rule.


What does the 50/30/20 savings rule mean?


It consists of dividing monthly income into three categories:

1) 50% for basic needs (essential expenses, food, housing, utilities, etc.)

2) 30% for non-essential expenses, or what we call treating ourselves.

3) 20% Investments for the future (we must banish the word "savings").

While it is true that creating a portfolio with that 20% allocated to investments will depend on multiple factors,
such as our objectives, our risk aversion, as well as the choice of assets, I believe (and do not take this as investment advice)
that it is always better to put together a balanced portfolio and adapt it to the needs and opportunities of the market.

In the next post, we'll create a balanced portfolio that combines cryptocurrencies, stocks, and a high-interest bank account.