How To Budget Money for Rent

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How To Budget Money for Rent

Money is the first thing you should have if you plan on renting. Budgeting money isn’t that easy specially to those people who spend so much on other stuff. You should depend on your income before you start listing the outgoings. So here’s a guide on what things to consider on your budget:

General thing you need to do:

  • Calculate all your monthly expenses
  • Figure out your monthly income
  • Minus the expenses from your income and calculate what’s left

List your income. It is the money coming in your pocket which could be:

  • Salary
  • Benefits
  • Loans and contributions, if any, from your family

List down the expenses you’ll have when you plan on renting.

  • Food and household items
  • Clothes
  • Transportation
  • Garbage pick up
  • Parking
  • Administration fees
  • Cigarettes or alcohol
  • Credit card or loan repayments
  • Going out expenses
  • Other stuff (books, gift, DVD’s. etc)

*Do not forget to include:

  • Rent
  • Fuel bills
  • Internet and telephone charges
  • Water bills
  • Council tax
  • Mobile phone costs
  • Renter’s insurance

Always take note on how much you spend on each area and where you can cut down if you are short on the money left.

Budgeting can be a little tricky but with the right knowledge and discipline, expect that everything will work out well. One must learn how to save money depending on the lifestyle to make the rent more affordable. Always consider the place where you want to live and make sure that it is location and housing-wise. If you live by yourself, a studio or a basement apartment might be cheaper than a two-bedroom apartment. The bigger the house, the larger the rent. Also, living in a city might be more expensive and might be tempting to buy the things you want because all of it is already there. Wherein, renting out of nowhere might be cheaper but expect a more expensive transportation costs.