If you want to make a more conservative estimate, use your lowest monthly income during the last year to set your budget.

For example, if you make $4,000 (U. S. ) per month, you should cap your rental budget at around $1,200. If you live with your parents, ask them about their utility expenses to get a feel for your projected costs.

Try to budget about 30 percent of your budget for these expenses. It’s important to take a look at your last 12 months of bank statements and credit card statements to really understand your fixed and variable expenses. Without doing that, it will be impossible to budget and financially prepare yourself. [6] X Expert Source Andrew LokenauthFinance Executive Expert Interview. 15 November 2022.

Try to budget about 10 percent of your income for debt repayment. If necessary, try calling your loan servicer to arrange an income-based payment plan.

Fitting room in your budget for savings might be impossible immediately after setting out on your own. You’ll likely be spread thin due to moving fees, furnishing your new place, and buying incidentals, from baking soda to pots and pans. Set a goal to start saving within three months of moving. Budgeting for saving is important in the case of loss of income, so you can keep yourself afloat for a while. Make sure to take your rent, your food, utilities, shelter into account when budgeting. [12] X Expert Source Andrew LokenauthFinance Executive Expert Interview. 15 November 2022.

Adjust your numbers if necessary so you know you earn more than your planned budget. For example, decrease your projected food costs by $50 if you need a little wiggle room. Create your budget based on realistic expectations so you’ll be more likely to stick with it. [15] X Expert Source Samantha Gorelick, CFP®Financial Planner Expert Interview. 6 May 2020.

If you find yourself spending more in a certain category, like dining out, evaluate how important that expense is to your life. If it’s really meaningful, plan for that expense but decrease spending in other areas. [17] X Expert Source Samantha Gorelick, CFP®Financial Planner Expert Interview. 6 May 2020.

If you live with your parents, prepare yourself to give up having cable with 300 channels, a washing machine, dryer, dishwasher, and a spacious house. If you’re used to having roommates, prepare to cut your spending on entertainment and going out drastically so you can afford to live alone.

If you have a pet, you might have to pay a one time or recurring pet fee. If you’re planning on purchasing your new place, factor in your down payment, closing costs, inspection fees, legal fees, and the cost of moving your furniture.

Toggle your search options so you only see places that you can afford. Get to know your area’s market and compare rents across various neighborhoods. Think about how one location might save you money in the long run. If an apartment is $100 more per month than another, but is walking distance to your job and near a public transit hub, think about how you might save money on gas or by getting rid of your car altogether.

The cost of living in your city could also make it impossible to live alone, so do some research into the average annual income required to live comfortably in your area. For example, if your city’s average cost of living demands an annual income twice as much as your earnings, consider relocating to a more affordable city. [22] X Expert Source Samantha Gorelick, CFP®Financial Planner Expert Interview. 6 May 2020.

If you love your location and live in an apartment complex, ask your property manager if any smaller apartments are available. Make sure you and your roommate meet the terms of your lease, or you’ll risk losing your security deposit.

However, if you believe they’ll try to make it financially impossible for you to move, open a new bank account in your name, use the account to save money for your move, and delete your browsing history after searching for a new place to live. [24] X Research source

See if your cell phone provider offers Internet services in your area and if you can bundle phone and Internet. Avoid being tempted to bundle unnecessary services. Suppose a base Internet plan costs about $30 a month, but you can upgrade to Internet plus basic cable for $50 a month. Think about how that $20 could be spent elsewhere before going for the bundle upgrade. If you can’t afford Internet or want to cut services to save money, try looking for free wi-fi spots in your area. Hang out at your local library or consider checking out a nearby coffee shop. Keep track of how much you spend on coffee, however, because that could easily add up to the cost of a monthly Internet bill.

Make sure to ask around your social circle for free stuff before spending any money. Chances are, someone will be looking to unload excess furniture and household goods. Stocking and furnishing a new home is full of unanticipated costs, from lamps, dishware, and cookware to spices and cleaning supplies. Save where you can by going with used items and hand-me-downs. If anyone asks what you want for a housewarming gift, ask for household necessities.

Use coupons and stock up on items on sale, as long as they won’t spoil or go to waste. Take a thorough inventory before you go shopping, make a list, and avoid impulse purchases at the grocery store.

Hang your clothes to dry, avoid leaving your refrigerator open longer than necessary, avoid leaving the television on, and do your best to keep your heating and cooling costs to a minimum.

You should treat a loan as a business interaction, not as something personal. Try to separate the loan from your personal relationship with your lender. If the loan is sizable, like in the range of several thousand dollars, having the terms of the loan in writing will help you demonstrate that it’s in fact a loan and not a gift. If you’re audited or garnished come tax time, you’d have to prove that the money you received wasn’t a gift, which would incur tax liability.