🏠 Budgeting for Your First Home (Without Going Broke)

Moving into your own place is one of the best feelings — independence, space, freedom… and bills. Lots of bills.

If you plan it right, though, you can make the move smooth, affordable, and still have money left for your goals.

Here’s how to budget smartly for your first apartment and build stability from day one.

💷 Step 1: Know Your Real Income

Start with what actually lands in your bank each month — not your pre-tax salary.

If you earn around £30–35K, that’s roughly £2,000–£2,200 take-home per month after tax and pension.

Use that as your starting point — every pound you plan should come from this number.

🧾 Step 2: Split It Into 4 Core Buckets

A simple structure that works for most people looks like this:

Around half your income for rent and bills Roughly 15% towards savings or paying off debt About a quarter for food, groceries, and essentials And the remaining 10% for fun, leisure, and small treats

If your rent takes up more than half your income, reduce what goes to fun or savings until you’ve settled in — then rebalance later.

🪑 Step 3: Budget for Setup Costs

The move-in phase is where most people overspend because they don’t plan for it.

You’ll likely need to cover a deposit and your first month’s rent upfront, plus some basics like furniture and kitchen gear.

Set aside around £200–£500 for essentials like a bed, table, and cookware. You can find great deals on Facebook Marketplace, IKEA’s clearance section, or local buy/sell pages.

Don’t forget small extras like internet setup or moving costs — but look for deals and ask friends for help before hiring a van.

🍝 Step 4: Control the Ongoing Costs

Once you’re in, your day-to-day habits matter most. Try to:

Cook at home most nights instead of ordering takeaway Choose supermarket own-brand items — you won’t notice with staples like pasta or oats Share or rotate streaming subscriptions Track your weekly spending with free apps like Monzo, Emma, or Money Dashboard

These little habits keep your costs low without feeling like you’re missing out.

🧰 Step 5: Build Your Safety Buffer

Even with careful planning, things break — boilers, phones, washing machines.

Start building an emergency fund of £500–£1,000 to cover the unexpected. You don’t need to do it all at once — saving even £50–£100 a month adds up over time.

🧱 Built, Not Broke

Moving out isn’t about having it all together — it’s about learning how to manage what you’ve got and build from there.

Start small, spend smart, and grow into your new space — financially and mentally.

Click here to find out about the differences between savings accounts and current accounts!

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