How much rent can I afford?

The rule behind it

Keep rent around a quarter of what you take home. Thirty percent is about the limit for most people without the rest of the month getting tight. On ₹60,000, that’s ₹15,000 comfortable and ₹18,000 at a stretch.

EMIs count too. Rent and EMIs together should stay within 40% of take-home pay, so a ₹12,000 car EMI on a ₹60,000 salary brings the stretch down to ₹12,000.

Costs that aren’t in the rent

• Deposit. Often two to three months’ rent, and in Bengaluru it can be much more. That’s money you won’t have for a while.
• Maintenance. Many societies charge it on top. Ask before you sign.
• Brokerage. Often a month’s rent, paid once.
• Electricity and internet. Usually separate. Budget ₹1,500 to ₹3,000 a month depending on AC use.
• Getting to work. A cheaper flat an hour away can cost more once you add cabs.

Sharing a flat

Use your share of the rent, not the full amount. If two of you split ₹30,000, your number is ₹15,000. Settle utilities and groceries the same way, every month, so nobody quietly ends up paying more.

Want to see how your rent fits with everything else? Try the salary budget planner with your real rent.