What is a savings rate — and how do you track it?
The percentage of your income you keep, and why it's a useful monthly number.
By the MonthlyIQ team · Last updated 2026-09-28 · Editorial policy
Key takeaways
- Savings rate = (income − spending) ÷ income.
- Use take-home pay for a simple, consistent number.
- Track it monthly to see direction.
Definition
Your savings rate is the share of income you didn't spend. If you take home $5,000 and spend $4,250, your savings rate is 15%.
Pick one method and stick with it
Some people use gross pay and count retirement contributions; others use take-home pay. Either works if you stay consistent month to month.
Why it helps
It combines income and spending into one number, so a raise that gets absorbed by new spending shows up clearly.
Frequently asked questions
What's a good savings rate?
It depends on your income, goals, and costs. A common guideline is 20% (from the 50/30/20 rule), but any consistent, positive rate is a good start. This is general information, not financial advice.
See your own numbers
Connect your accounts and MonthlyIQ explains your month — what's due, what changed, and what's left.
General information only, not financial, tax, or legal advice. MonthlyIQ is not a bank or financial adviser.