In many situations, people need to save up a certain amount of money to move, and most often the most desirable and at the same time acting on the nerves is the first move from their parents for further independent life.
No one wants to leave home for six months and then go back to their parents, so it is very important to properly prepare for the first move. A realistic estimate of how much money you will need to move, and making certain lifestyle changes in order to save money, will increase your chances of a successful outcome of the case.
Expenses are always disappointing but using nowadays tools like approximate moving cost calculator or numerous apps will help you to plan your money. If you decide to book a moving company check moving company reviews and ask for a moving Quote before hiring a mover.
Determine if you are ready to move
Estimate the full cost of independent living. Let’s say you earn 40 thousand rubles a month, and you heard that in your city there is an opportunity to rent a small studio apartment for 20 thousand a month and have already started dreaming about student parties in your apartment. However, do not rush to collect things.
Rent is only part of the cost of living independently. Don’t forget about utility bills, food, clothes, laundry supplies, and so on — all of which are probably taken care of by your parents while you live with them.
It is reasonable to increase the rent by about 30 % to roughly estimate the cost of living in a rented apartment (taking into account utility bills). Ask your older siblings or friends who live on their own how much it costs them. Arm yourself with accurate information to realistically assess whether you can handle an independent life right now.
Make a personal budget
You have decided that you are ready to become an adult (to be treated like this) and therefore want to live independently. So prove your willingness to take your own finances seriously.
Budgeting is probably not the most enjoyable activity, but it is important enough and not too difficult to do. In reality, all you have to do is make a list of your monthly income and expenses. Perform this operation for at least a few months to get a more accurate estimate of the monthly budget.
On the web, you can find numerous calculators and applications that will help you keep a home budget and track expenses. However, you might as well use a pen and paper.
Be careful in tracking your spending. Don’t forget about buying coffee in the morning, paying for a streaming video service, transportation or car insurance. The more accurate your calculations are, the better equipped you will be to make the final decision about whether you are ready to move.
Start preparing at home with your parents
While it can sometimes be difficult to give up the benefit of paying for basic living expenses at your parents ‘ expense, this step will help you learn how to better plan for unavoidable expenses and pay for them yourself.
Start paying rent (if the family lives in a rented apartment). Parents may resist this idea, but this way you can show them (and yourself) that you have become an adult who is ready to take on adult responsibilities.
The amount of rent paid by you personally does not necessarily have to correspond to the actual rental rate in this place; here the process of paying the rent in full and in time is important, so that you have the appropriate habit before you start an independent life.
If paying rent is not an option in your situation, try insisting on paying your share of utility bills. It may be better to take on a monthly payment of one type of utility bill (for example, water bills) to develop a good habit of paying bills.
The topic of this article is related to saving money for moving, and spending money may seem like an illogical step. However, if you move away from your parents without preparing for the realities of living independently, including paying bills, the cost of this act may be significantly higher for your wallet (and pride) than if you take care of some housing costs while still living with your parents.
Pay off your debts or at least reduce their amount
You may be looking forward to moving out of your parents ‘ home and starting a life on your own, but it’s wise to wait until you’re in a more favorable debt situation, which will be useful in both the short and long term.
If you have only recently completed professional training, it is possible that you (and your) parents still have not repaid a small (or vice versa a large) part of the loan for your education. If you’re not going to live with your parents until you’re forty, you probably won’t be able to pay off such a loan in full before you move in. However, it is better to use any opportunity to reduce the debt before you start living independently, because then your expenses will increase significantly.
Paying off an overdraft with a bank card will be a more realistic task before moving. Think of it as a cost-saving move, because by eliminating the ever-increasing debt burden, you’ll have more financial independence by the time you move.
Take care of a good credit history
With a bad or missing credit history, you may have difficulty renting an apartment through trusted real estate agencies. Having a good credit history plays an important role in many aspects of adult life.
Paying off existing debts is critical to improving your credit rating. While this will help you eliminate the impact of a number of negative factors, there are other ways to improve your credit score.
Get one or two credit cards and pay monthly expenses on them. Use these cards to regularly buy things you can afford (gas, a small TV) and pay for them on time. If you do not exceed the monthly credit limit on the card, it will also have a positive impact on your credit history.
For a credit history, it is also useful to have a permanent job and a valid bank account. The same goes for the place of your registration, but you are just working on this issue! For more ideas, check out the articles on creating a positive credit history.