How Much Should You Budget for Utilities?
Today, we have a question from our MyFirstApartment mail bag.
Lacey”
The short answer is — anywhere from $75 – $200+ per month. What’s the long answer? In terms of possible utilities, here’s a comprehensible checklist: electric, water, heat, trash pickup, gas(**HEAT), cable, internet, and telephone. Off the bat, water and trash-pick up should be included in your rent; if it’s not, you very well may have a landlord who’s not abiding by the letter of the law — so definitely check into that. Now, let’s break down the remaining list.
Gas: Usually ranges from $15-30, depending on how much you cook. The more you use your burners/oven, the higher the cost. Also, know that gas includes costs for HEAT, which can go as high as a few hundred dollars in the winter if you like to stay super toasty! If possible, I’d recommend trying to find an apartment with radiator heating, as these kind of apartments usually include free heat!
Cable/Internet/Phone: Approximately $100. Be sure to call up your cable company and ask if they have any specials — they usually do and you’ll get the best new customer deal by calling up and sweet talking the sales associate at the other end. If you’re looking to go bare bones, ONLY internet usually runs about $30-$50.
The hidden expense in living on your own is being responsible for all the utility costs; if you’re worried about costs, I’d seriously consider finding a roommate to help share the load! In other words, $200/3 people = pretty sweet 3-bedroom.
Also, so you know, the exact amount of utilities is impossible to pinpoint as it really depends on your energy usage. The U.S. Department of Education has a decent budget calculator, and they recommend putting aside 2-10% of your net income for utilities. However, they also ask you to seriously consider cost of long distance phone calls(hello, cellphone!) so. . .it kinda sounds like they’re living in 1973. That said, cellphone bills can be a doozy.
Good luck!
P.S. If any of you fellow readers have any questions you’d like answered specifically, please feel free to send me a note at editor [at] myfirstapartment.com
“Dear My First Apartment,
How much do you pay for utilities in an apartment? There are so many factors to consider. Would you be kind enough as to give me some pointers as what to look for or avoid? A little advice would go a long way right now.
Hi Chelsea,
Since water and trash are included in both, all you need to price out is the difference between internet/cable vs. heat. You can probably get a basic internet/cable package for $60-75 a month, without HBO or other pay channels. If you live in a cold climate, heat can get pretty pricy. If it is natural gas or electric heat, you need to get an estimate from the gas or electric company. Also, you can call your local cable company for an estimate. But remember, if money gets tight, you can cut off cable, but you cannot do without heat. Take the heat option, pay for the internet yourself, but skip the cable. For $50 you can buy Roku or another device that let’s you stream TV programs free to your TV via the internet. Let us know what you picked. And good luck!
hi i am looking at 2 diferent 2 bedroom apartments one includes water,trash,internet and cable its $600 a month and the other is also $600 a month includes heat,water and trash i was wondering which is better and which would save me more money the one that pays heat,water and trash or the one who pays water,trash,cable and internet???
i’n the next year i will be gettin my own place,
i’m nervous and excited.
This is a great article and I would have been useful two years ago when I first moved. My suggestion for your electic bill is to try level billing. In NY we have Con Edison and they can evenly split your payments up into 12 equal payments and can be adjusted for large spikes and decreases. It takes the guess work out of figuring out how much you're going to have to pay. I got sick of the shock and awe of waiting for and opening my electric bill. Hope this was helpful.