Enter the total amount of money and the percentage into the calculator to determine the amount allocated to a specific category. This calculator can also evaluate any of the variables given the others are known.

## Money Allocation Formula

The following formula is used to calculate the allocation of money across different categories.

A = (T * p) / 100

Variables:

- A is the amount allocated to a specific category ($) T is the total amount of money available ($) p is the percentage of the total amount that you want to allocate to a specific category (%)

To calculate the amount of money to allocate to a specific category, multiply the total amount of money available by the percentage you want to allocate to that category. Then divide the result by 100 to convert the percentage to a decimal.

## What is a Money Allocation?

Money allocation refers to the process of distributing or assigning funds to different categories or areas such as savings, investments, expenses, and debts. It is a key component of financial planning and budgeting, aimed at optimizing the use of money to achieve financial goals and maintain a healthy financial state. The allocation can be adjusted based on changes in income, expenses, financial goals, or economic conditions.

## How to Calculate Money Allocation?

The following steps outline how to calculate the Money Allocation using the formula: A = (T * p) / 100.

- First, determine the total amount of money available ($).
- Next, determine the percentage of the total amount that you want to allocate to a specific category (%).
- Next, use the formula A = (T * p) / 100 to calculate the amount allocated to a specific category ($).
- Finally, calculate the Money Allocation.
- After inserting the variables and calculating the result, check your answer with the calculator above.

**Example Problem:**

Use the following variables as an example problem to test your knowledge.

total amount of money available ($) = 500

percentage of the total amount that you want to allocate to a specific category (%) = 20