The three-month-salary rule comes from a 1930s marketing campaign. De Beers, a leading diamond cartel that controlled 60% of all rough diamond output at the time, was looking for a way to drum up sales. The Great Depression had caused an obvious drop in diamond sales, so De Beers began what would become one of
If you’re looking for a simpler way to figure out how much you’ll have to spend for vacation annually, a common rule of thumb is 5% to 10% of your net (after taxes and other withholdings) income. For an earner with net income of $40,000 per year, that’s $2,000 to $4,000 to spend on vacation, which
If you’re just starting out in the adult world and have no idea how to manage your finances, the 30% rule is a great place to start. This tried and true method can help you determine where you should move, if you should have roommates, and how to divvy up the rest of your expenses.