Know you need to create a first apartment budget, but have no idea where to begin? Don’t worry, I got you!
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I’ve always been told: “If you don’t have a budget, then you’re just guessing when it comes to your finances.” When I moved into my first apartment, I had just turned 20 and really had no idea what a first apartment budget even entailed. How much should I be saving? How should I keep track of all my expenses?
I don’t know about you, but uncertainty and finances in the same sentence does not sound great, so I spent a ton of time researching and reading up on first apartment budget worksheets. Eventually, I created my own first apartment budget and have used some variations of it ever since.
In this post, I’m sharing some of the best hacks I’ve learned over the years on how to budget for your first apartment in a way that will help this whole money thing feel a little less cryptic.
This post is all about how to set up your first apartment budget to make sure you are staying on track with your financial goals.
FIRST APARTMENT BUDGET:
Step One: Determine Your Goals
You can’t know if your first apartment budget is keeping you on track with your financial goals if you don’t have any to begin with. So what are your goals? Do you have student loan debt you want to pay off ASAP? Are you going to have to buy a new car soon? Is there a trip you’re taking soon that you need to save up for?
Figuring out your goals will help you know the best way to use your first apartment budget. You can even dedicate space in your budget document to track your goals. If you’re anything like me (think insanely type-A), then crossing off those milestones will bring you so much fulfillment.
Step Two: Set Up Your Document
In my opinion, the easiest way to set up a first apartment budget is in a good ole fashion Excel sheet or Google Sheets. They’re basically fool-proof and, if you have a google email, FREE. Another platform that I love is Notion. If you’re not familiar with Notion, it is an awesome productivity tool that can essentially help you organize your entire life.
Once you choose your platform and create your document, you’ll want to make different sheets for the various categories of your first apartment budget. Everyone’s needs are different, but here are some categories I recommend you include:
- Moving Expenses Tracker: keep track of all of the fees and deposits that come up before you move.
- Apartment Essentials Tracker: make sure you have all the apartment must-haves you need and track how much you are spending on them.
- Apartment Bills Tracker: use this to stay organized in all of the payments that happen monthly and track who has paid their portions.
Step Three: Track Your Income
It is important to plan ahead at the beginning of every month and this starts by making note of your planned income. If you work a job with a salary, you know that this is going to be consistent month after month. With any side hustles you might have, those can fluctuate. Your first apartment budget sheet will help you map this out to know the amount of money you have to work with for your needs, wants, and long-term goals.
Step Four: Plan for Upfront Costs
This is definitely one of the things I wish I knew before getting my first apartment. There are a lot of fees and deposits that happen in the first month of moving into your apartment so use your first apartment budget to keep track of exactly everything you are spending. This is where your “Moving Expenses Tracker” sheet will come in handy. An apartment expenses list will not only help you learn how to budget for your first apartment but also be key in knowing how much to save for first apartment.
*Pro Tip: I highly recommend being intentional about saving up for these upfront costs and future rent payments (if your financial situation allows) in the months leading up to moving in. This is one of my favorite first apartment tips because it gives you a little bit of a cushion and peace of mind.
Step Five: Write Out Your Bills
This is exactly how I track my apartment bills for me and my roommate. Every month, I go into my “Apartment Bills Tracker” page and input our rent and utilities expenses for the month. In the breakdowns per category, I set up a formula that will automatically divide each bill by two so then I can easily know how much to tell my roommate to send to me in order to pay the bill on time. I swear by this method and used this exact sheet in my first apartment budget when I was a junior in college.
Step Six: Monitor Your Spending
One thing to look out for when moving into your first apartment is to not get crazy with spending all at once. A good first apartment budget worksheet is going to help you keep track of all of your first apartment essentials and monitor how much of your budget is going toward all of those expenses.
Here’s what I recommend: break it up by room. Your essentials checklist will be way more manageable if you do it this way. On this page you can make note of the item you bought, where you got it from, and how much it cost. For example, if you need to stock up on bathroom essentials like toilet paper, bath towels, or bathroom cleaning supplies, you would want to make note of that.
Step Seven: Crush Your Goals
Now that your first apartment budget is set up, you can start working towards those goals you set in Step One. I know this can be daunting, especially if you have a large amount of debt to pay off. However, there is a way to make it appear more manageable and achievable. Set small milestones for yourself. Achieving these small wins will fuel the fire and give you the motivation to keep going, even in the hard months. You got this!!
dying to learn more?
THE BEST BOOKS ABOUT MONEY
1. You Are a Badass at Making Money
I picked this book up because the title grabbed my attention. I mean, who doesn’t want to be great at making money? This one is all about changing your mindset toward money and going after your dreams. The author also has another self-help book you might enjoy!
2. The Psychology of Money
If we want to get good at managing money, then we need to really get to the root of some of the problems we face. The Psychology of Money will teach you all about how we tend to think and behave toward money and how that impacts our financial decisions.
3. The Total Money Makeover
Dave Ramsey is pretty popular in the world of money, and not everyone loves his methods. Even if you don’t agree with 100% of what he teaches, I still think there is great information to be gained from his book. I personally love hearing what he has to say! You can read all the about the book in detail here.
5. Atomic Habits
This book isn’t technically all about money, but I had to include it because our money is related to the habits (good and bad) that we have. So not only will Atomic Habits help you with your financial situation but also many other areas of your life! You can read the full synopsis here.
