**Contents**show

## How much does the average college student spend on rent?

Monthly Expenses

Expense | Budgeted | Actual Cost |
---|---|---|

Rent | $685 |
$685 |

Utilities | $20 | $18 |

Internet | $15 | $15 |

Groceries | $200 | $105 |

## How much should rent be right out of college?

How much should you spend on rent? Try the **30% rule**. One popular rule of thumb is the 30% rule, which says to spend around 30% of your gross income on rent. So if you earn $2,800 per month before taxes, you should spend about $840 per month on rent.

## Is $1500 rent too much?

You may have heard of the general rule of thumb here, which is that 30% of your monthly income should go to rent. … So if you have a $500 monthly student loan payment and a $200 monthly car payment, that $1,500 rent payment would get you to **44%**—which is just over what you want to spend.

## How can college students afford rent?

**How to Pay for an Apartment While in College?**

- Finding the right apartment. Consider staying in a private home instead of a big apartment complex. …
- Live with people. More roommates equals less expensive rent. …
- Get a job. Start with your school’s employment office. …
- Be frugal. …
- Use your loans (if you must).

## How much rent is too much?

One suggestion, provided by Metropolitan Life Insurance Company, is to spend **no more than 25 percent of your monthly gross income on your rent**. For example, if your annual salary is $30,000 per year, or $2,500 per month, you shouldn’t plan to spend more than $625 per month on rent.

## Can I spend 50 of my income on rent?

Using this rule, calculate what your after-tax income is. From there, use 50**% of your take-home pay for housing, utilities, groceries, transportation** and other non-essentials that typically cost the same month to month. … Lastly, use 20% of your monthly income to save and make extra payments on your debt.

## Does the 30 rule include utilities?

The 30% rule is rent-specific and doesn’t include other necessary **housing** costs, such as utilities or renter’s insurance.

## How much rent can I afford on $40 k?

The Rule of 40-A general calculation when budgeting your housing expense is to simply divide whatever your income is by 40 and that is what you can afford monthly. Therefore, if you make $40k per year your rent should be **no more than $1k each month**.

## Is 700 too much for rent?

The general rule of thumb is to spend **no more than 33% of your income on rent**. To be safe, base this on your monthly take-home pay. So if you make $2,100 per month after taxes, you can afford to spend $700 on your share of the rent. Other expenses: For some people, the one-third rule works perfectly.

## How much can you afford in rent?

Most experts recommend that you shouldn’t spend **more than 30 percent of your gross monthly income on rent**. Your total living expenses (rent, utilities, groceries and other essentials) should be less than 50 percent of your net monthly household income.

## How much rent can I afford on 40000 a year?

How To Determine How Much Rent You Can Afford. A lot of experts recommend not spending more than 30% of your monthly take home pay on rent. So if you earn $40,000 per year, that would mean spending **no more than $1,000 per month**.