4 tips for managing finances with roommates

4 tips for managing finances with roommates 

Roommates are an excellent option if you’re looking to save a little extra cash each month. Housing is expensive, and you can make your money go further when you share costs. You’ll likely find it makes more sense to split costs on some items rather than buying everything yourself.

Here are some tips to help you manage household finances with roommates. 

Open dialogue 

The first step when you meet new roommates is to talk openly about the expenses you’d like to share. Be transparent about what you expect but try to understand your roommate’s perspective. Like any relationship, communication is key! 

Make a list 

Making a list of shared expenses is a good starting point. Internet, utilities, and toiletries are common things to share. Identifying them will help you figure out roughly how much you’ll need to spend each month, which you can then incorporate into your personal budget.

Find a compromise 

You can usually find a compromise when there’s a disagreement about a shared expense. Say you want basic internet, but your roommate wants the deluxe package. A good compromise might be for them to pay half of the basic cost, plus the difference between the deluxe and basic plans. 

Make a plan 

You could open a joint account you and your roommates share. Or one person could manage shared expenses. How you do it depends on how well you know your roommates and your comfort level. The important thing is that everyone is on the same page, and that there’s transparency in how things are done. Keeping receipts is always a good idea!

Talking about finances with roommates doesn’t need to be stressful. Good communication will ensure everything runs smoothly, while also saving you money you can invest towards your life goals.

If you’re looking for help designing a plan to help reach those goals, give me a call. I can help you create one that meets your needs.