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2021-02-26

How To Budget For Your First Apartment

It took months of searching, but you've finally found the perfect apartment. It’s spacious, stylish, and the rent doesn’t break your budget.

But when you receive your first month of bills, you might be surprised to find out you’re paying more than you anticipated. Along with your rent, there’s electricity, heating, and a bunch of other expenses. Living on your own can be a tough adjustment.

It may be overwhelming to manage all these costs. Moving into an apartment is equally exciting as it is intimidating. You’ll need an iron-clad budget to keep your expenses on track.

This guide will help you budget for your first apartment:

Tenant Insurance

In the event of a fire, flood, or theft, you want to make sure your items are protected. Tenant insurance is a must-have for renters—it gives you security for these incidents without breaking the bank. Most plans are relatively inexpensive, so shop around to find one that suits you. 

Some landlords will require proof of tenant insurance before they let you move in. Either way, it’s a smart and affordable investment to protect your belongings.

Heating & Cooling Costs Fluctuate

As the seasons change, so do the demands on an HVAC system. Even though your heating costs were non-existent in the summer, you’ll definitely notice them on your winter utility bill. If you use a portable air conditioner when it’s hot out, your electricity bill will increase.

Unpredictable bills might stress you out in your first place. If so, enrol in Manitoba Hydro’s Equal Payment Plan. It projects your total costs for the year and divides them over 12 months. You may find it easier to balance a budget when your bills are more stable.

Budgeting Tips

  • The 50-30-20 rule

Each month, it’s tough to know how much you should spend, and how much you should save. Try out this formula:

  • Spend 50% of your income on necessities (rent, food, transportation, utilities, and bills).
  • Use 30% on things you enjoy (like a takeout coffee, new movie, or sports game).
  • Set aside 20% of your pay for debts and savings.

If you can’t meet these exact numbers, don’t worry about it! They’re just guidelines to help you budget.

  • Find a roommate

It’s tough to pay an entire month’s rent on your own. But if you’ve got a friend or partner who’s also looking for a place, consider moving in together. You’ll cut your bills in half! It’s a lot more affordable to share the costs of Internet, cable, and other amenities with a roommate.

  • Where can you cut costs?

Make a list of all your regular expenses, and try to find ways to save money. When purchasing groceries, swap out name-brands products for ones that are less expensive. Try to bike to work instead of driving or taking the bus. 

If you want to cut down on takeout expenses, try to meal prep instead. Make a large batch of food on Sundays that you can use for leftovers throughout the week. 

And do you really need to pay for all those monthly subscriptions for music, movies, or sports channels? See if there’s a less expensive way to seek entertainment.

Looking for an Apartment?

At Globe Property Management, we have thousands of apartments in Winnipeg, Manitoba for rent. Visit our website to find your perfect first place. We’re committed to providing our tenants with high-quality customer service.

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