Financial Ratios

Financial ratios give us a broad view of how we utilize our funds. The financial 'standard' tell you should strive for the 50-30-20 rule. 

That's a good starting point. Where Parkbo stands out is that it adapts based on your lifestyle.

But should you spend 50% of your income on 'needs.' The target should be to reduce your fixed expenses down to 0%. Doing so gives you the most considerable flexibility to spend on your wants and maximize your savings and investments. 

Parkbo's AI helps you do so by putting an emphasis on paying down debt and owning everything outright. So what if your needs are down to 40% - where should the other 60% go? Parkbo determines that for you so you don't you have to.

Definitions:

Fixed Expenses Ratio: computed by your total living based over your monthly income.

Debt Repayment Ratio: computed by your total expected payment towards debt over your monthly income. 

Savings Ratio: computed by the monthly saving amount over your monthly income.  

Investment Ratio: computed by the monthly investment amount over your monthly income.

Spend Ratio: computed by your Daily Spend Number over your monthly income.

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