Finding your perfect apartment for rent in Joplin or Webb City hinges on several factors. One major consideration is the costs involved and your monthly budget. You want a comfortable place to live that fits your lifestyle. But it must also fit within your monthly finances.
Keep reading to learn more about how to budget to rent one of our apartments in Joplin or Webb City. We’re happy to help you find the perfect place to live in our beautiful metropolitan area.
Determine Your Income After Taxes
Start by calculating your monthly income after taxes. If you are paid weekly or biweekly, you would add your pay over the course of a month to see how much money you bring in. Weekly pay means there are five months where you get extra pay. Biweekly pay typically gives you an extra payday for two months out of the year. Keep these totals in mind as you ascertain your budget.
Financial experts generally recommend keeping the rent under 30% of your monthly income. For example, your take-home pay is $4,000 per month. Aim to cap the monthly rent payment at $1,200 for your apartment in Joplin or Webb City.
Calculate Fixed Expenses
Next, calculate your fixed monthly expenses. These include payments that do not change and remain constant from month to month. Fixed expenses include the following:
- Auto loan payment
- Auto insurance payment
- Tuition or childcare costs
- Cellphone or internet bills
- Streaming service costs
- Student loan payments
- Rent
These expenses likely don’t change, so they are easy to account for when developing a monthly budget for your rent. For example, your take-home pay is $4,000. Your fixed expenses come to $1,800. That leaves you $2,200 for variable expenses.
Account for Variable Expenses
Variable expenses do not stay the same every month. Although not perfect, you can develop a monthly budget by showing a range of these expenses. For instance, your utility bills might be higher in the summer and winter when you use air conditioning and the heater more often. Grocery bills may change when you have family gatherings and celebrations.
Examples of variable expenses include:
- Utility bills
- Groceries
- Refueling your vehicle
- Car repairs
- Entertainment
- Eating out
- Medical care
- Clothing
- Hobbies
- Shopping
Review past bills to identify trends in your spending for utilities and groceries. If you need to cut back on other expenses, find ways to save money if you want to increase the income you have at your disposal or afford a better apartment in Joplin or Webb City.
One-Time Expenses
When you choose your next apartment, make sure to set aside money for one-time expenses associated with the move.
Furniture
Consider getting new furniture or more furniture, depending on your current situation. Maybe your new place would clash with your current couch or chairs. Or you need new furniture because the apartment you chose is better than where you currently are. Perhaps you just want a fresh start with something new. Whatever your reason, save some money to pay for your apartment furniture and decor.
Security Deposit
The security deposit for your apartment is a one-time fee. Depending on your situation, you can get the deposit back when you move out if the apartment is still in the same condition as when you moved in. Some places refund only part of the security deposit so the room can be cleaned for the next tenant.
Moving Costs
Your moving costs are a one-time expense every time you move. You might need moving supplies, like boxes, bubble wrap, and packing tape. If you plan on hiring a moving company, that could run several hundred dollars depending on how far you have to move and how many items you need to bring to your apartment in Joplin or Webb City.
Create a Monthly Budget
Now, it’s time to create a monthly budget for the rent. Remember, 30% of your income is the maximum amount for rent because you want to have enough to cover the rest of your expenses.
- Start with your monthly take-home income: $4,000
- Subtract your fixed expenses (including your current rent): $1,800
- Subtract your variable expenses: $2,000
- Disposable income every month: $200
What this example means is that, with current income and expenses laid out, this budget has $200 in wiggle room for the next rent payment or to save for one-time moving costs.
Use Budgeting Apps
Budgeting apps offer handy ways to make and maintain a budget. See some of the best ones that keep your family finances close and in front of you.
YNAB (You Need A Budget) is an app known for its zero-based budgeting approach, which helps you allocate every dollar of your income to a specific purpose. It’s a great option for those who want to take a proactive approach to their finances.
EveryDollar represents another popular zero-based budgeting app that people love for its simplicity and ease of use for uncomplicated budgeting with personal finances.
PocketGuard focuses on helping you save money by tracking your spending and identifying areas where you can cut back. You’ll also get insights into your financial habits, and tips for improving your money management will be offered.
Simplifi, as the name suggests, simplifies your finances by automating tasks like bill payments and budgeting. You’ll also receive tips and personalized recommendations about your spending habits and recommendations to help you save money.
Adjust Your Budget Accordingly
Adjusting your budget for moving into your apartment starts with a close review of your spending habits. First, and we can’t stress this enough: make sure your rent does not exceed 30% of your take-home pay.
Look for ways to cut your discretionary spending, such as entertainment, dining out, or subscriptions. Reducing or eliminating nonessential expenses can help you adjust if you want to find a better place to live that might have higher rent. It’s easier to save money by reducing your variable expenses versus fixed ones.
Welcome Home to Our Apartments in Joplin or Webb City
We think you’ll love our apartments in Joplin or Webb City. All of our properties have the rent listed, so you can budget for your rent. Contact us or call (417) 624-4144 to schedule a tour with our team. We look forward to meeting you!
