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Why the 40/40/20 Rule Works. Cardone said that the 40/40/20 rule has a proven track record of success. “If you would save 40% of your gross revenue and use that to invest — not to live — I ...
To calculate a percentage of a percentage, convert both percentages to fractions of 100, or to decimals, and multiply them. For example, 50% of 40% is: 50 / 100 × 40 / 100 = 0.50 × 0.40 = 0.20 = 20 / 100 = 20%. It is not correct to divide by 100 and use the percent sign at the same time; it would literally imply division by 10,000.
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