Round any decimals to the nearest penny.
Your realized income is $3,167.89/month, and your fixed expenses are $954.32/every 2 weeks. If you save 50% of your discretionary monies each month, how much are you saving?
First, we need to calculate your discretionary income each month.
Monthly income: $3,167.89
Bi-weekly fixed expenses: $954.32 * 2 = $1,908.64
Discretionary income = Monthly income - Bi-weekly fixed expenses
Discretionary income = $3,167.89 - $1,908.64
Discretionary income = $1,259.25
Next, we need to calculate how much you are saving each month.
Savings = 50% of discretionary income
Savings = 0.50 * $1,259.25
Savings = $629.63
Therefore, you are saving $629.63 each month.