The 50/30/20 Rule: A Better Way to Manage Your Cash Flow
April 15, 2025
What Works Wednesday: The 50/30/20 Rule: A Better Way to Manage your Cash Flow In this episode, Leland Gross unpacks why traditional budgeting often feels like financial dieting—and why it's time to replace it with a system rooted in clarity and freedom. Forget line-by-line spreadsheets and guilt trips over your latte habit. Leland introduces the 50/30/20 Cash Flow Plan, a straightforward, abundance-minded approach that starts with what matters most: saving first. Here's the breakdown: 20% to savings: Automate it. Prioritize it. This is your ticket to financial growth and security. 50% to fixed expenses: Mortgage, utilities, insurance—these aren’t swipe decisions. Keep this bucket lean to maintain flexibility. 30% to flex spending: The fun stuff—dining out, shopping, hobbies. Track it simply and weekly, not obsessively. This method provides a simple feedback loop, not a punishment system. It’s scalable, flexible, and built to help you live your life without financial anxiety. Whether you're navigating a variable income or just trying to gain control of your finances, this episode will give you practical tools to do it confidently. Tune in to rethink your cash flow, automate your savings, and reclaim your peace of mind.
In this episode of What Works Wednesday, Leland Gross discusses a fresh perspective on cash flow planning, moving away from traditional budgeting towards a more flexible and abundance-focused approach. He introduces the 50-30-20 cash flow plan, which emphasizes saving first, managing fixed expenses, and allowing for discretionary spending. This method aims to create a feedback loop that encourages financial freedom and clarity in spending habits, ultimately leading to a healthier financial mindset.