I am nineteen, earning approximately $550 a week, I currently have $300 in my savings account... I know, it sounds pretty bad... but I'm very determined to be better with my money. I've organised a budget that covers paying back my car, board at home, my current bills, gym membership, fuel, insurances and having money go into savings, etc. With a tight rien, I'm confident.
I am currently studying through distance whilst working full time, and am willing to take Friday/Saturday night work also to help my finances. My motto I am working towards is "work hard now, get rewarded sooner".
I have deciced that in the next six months (as a minimum) I want to move out of home for the first time. Should I not be able to find someone to move out with, I am more than willing to live alone. There are homes for rent in my area from $145 - one or two bedrooms, just right for me and some with room should I decide to have a roommate.
My question is this... I know that when you have a budget you work around it, but am I being unrealistic with this plan considering my wage and the other expenses that come after paying rent each week? Or is it possible? I am struggling to get along with my family living at home and I am just ready to become more independent.
6 Replies
I think it's possible provided you start to build up savings. Keep on mind when too first move out you will need to pay bond ( 4 weeks rent) and you may have to pay another 2-4 weeks rent upfront. Then there will be the cost of moving and you have may to buy some white goods and furniture (though 2nd stuff will be cheaper). It's doable if you build up a good savings balance and start actually saving the money which would be you weekly rent plus a bit extra. If you can survive on that for the next 4-6 months you can do it.
Just a little advice, live at home as long as possible and use your savings as a house deposit! That what I'd do! Once u move out and have all the bills like rent, food, electricity and insurances, saving for a house deposit will become 100 times harder. But if your happy to rent then go for it. But money will probably be super tight.
My advice,
Its fantastic that you have a budget and a goal but try and work this way first, ill just put question marks on the info I don't know, so you can adjust:
Money in VS Money Out IF living out of home....
So, Money in weekly-
Wage $550
Money Out weekly- ((I ALWAYS suggest saving 10% of your wage NO matter what!!! and dividing all your quarterly and fortnightly bills into weekly, then putting that weekly sum away until the bill arrives))
Savings - $55
Rent - $145
Bond - $870 (6 weeks rent)
Water - $ ?
Electricty - $ ?
Phone - $ ?
Internet $?
Car Repayment - ?
Petrol - ?
Food - ?
Clothing - ?
Insurances - ?
Gym membership - ?
Circus Money - ? ((Lets face it, your 19 and you still need to have time out with friends or go to movies etc))
As well as appliances, furniture, money incase your car breaks down, computer dies, or you need new textbooks for study.
Money Out weekly IF living with Family -
Savings - $55
Board - ?
Gym membership - ?
Current Bills - ?
Anything you need to contribute to - ?
I know my first list looks daunting, but some things on there you may not need and be able to take off.
Moving out for the first time is exciting, but you need to be prepared. I recommend having at least 10k in a savings account before you move out. To ensure you have the best start in life. If you can save about $384 a week for the next 26 weeks then you will have 10k ((plus interest if using a good savings account))
Your not being unreasonable, but you will be broke. very broke... but necessity is the art of invention. Good luck! :-)
I think if you could find a very reliable person to share with it's doable and a great experience. Otherwise stay put a bit longer because things will be really really tight. It feels like an adventure at first but it gets old and exhausting fast! Being poor is hard work.
But I'd assume if you only have $330 in savings yob aren't ready because you are living paycheck to paycheck.
Are you my son? Ha! I know you're not but this could have been written by him.
My advice.
Don't move out unless you REALLY have to. Get a head start and save like a crazy person! I know you young people want to get out there and make an impression on the world. I know I did. I moved out when I was 18 and I tell you what... Hindsight teaches you many things. I learned the definition of struggle and sacrifice. I was definitely too stubborn to go back home or ask for help! It's a wonder I survived really.
If you're studying and working full time chances are you're hardly there anyway. Just make sure you do the following:
Clean up after yourself. You're an adult. You can wash your own clothes, do your own dishes and clean your own room (I'm not saying you don't do those things... Just thinking of my son here). If you do those things it will REALLY help keep the relationships at home harmonious and happy. Besides, you'll have to do it all yourself when you move out anyway.
I'm sure you'll be fine whatever you decide.
PS: if you are my son. Your washing is in the basket in the laundry. Still wet. It's fine to use the washing machine but the clothes don't hang themselves ya know!!! ?
I moved out of home when I was 16 earning about $600 a week working at maccas. It can be done. Plus you will more then likely get rent assistance