Roommate Finances - Your Guide To Paying Roommate Expenses
The key to financial success when living with roommates is developing a few guidelines or a set of procedures that lets you implement an easy system to pay bills and resolve disputes. This system also gives your household a blueprint it can follow when new financial issues arise. For this reason, it's especially important for these guidelines and procedures to be written down and kept in a safe place so that roommates can refer to them.
So, which topic areas should you include in your guidelines or set of procedures. Here are 5 steps to get you started.
1. Decide On Your Roommate Expenses
Your expenses will include the rent, water and electricity plus any optional expenses like telephone and food. Many roommates decide to split roommate expenses evenly but some households decide this is not the best option. This often occurs when the bedrooms are uneven in size, when roommates form part of a couple or some roommates do not wish to pay for some of the optional expenses. These costs are usually paid each week or month.
2. Choose Payment and Collection Methods
The easiest way for roommates to pay their expenses is in cash to a nominated person who undertakes the record keeping and pays the bills by the due date. It's important to remember that the account holder of each bill is ultimately responsible for paying the bill. Your rental agreement will set out how to pay the rent and any additional expenses like electricity or water that may need to be paid directly to the landlord. Any bill that is not paid may result in eviction or disruption of services.
3. Set Up An Accounting System
Setting up an accounting system helps you keep track of payments made and receipts issued from and to roommates and billers. Establishing an efficient system that records the movement of money between all parties lets you quickly find out where money has been spent and when bills have been paid. It can help settle disputes and lets you manage your household budget better.
4. Plan How To Deal With Disputes
Creating procedures for handling disputes lets roommates deal with financial matters in a calmer and more relaxed environment. Your procedures should cover the areas of non, late and under payment of expenses by roommates and the nominated record keeper.
5. Create Plans For Household Changes
Whether the rent increases, a roommate moves out or becomes unemployed, it's important to set up plans how your household will handle these changes financially. By planning ahead, roommates will feel more in control which will let them make better decisions when unexpected events occur. Making plans can help roommates decide whether to increase expenses, move elsewhere or not live together anymore.
Just remember the guidelines or procedures you create can be changed at any time when your household or circumstances change. Developing a system lets you gain control over roommate expenses and makes sure your bills are paid on time and any disputes are resolved. With a bit of practice, your roommate finances don't need to be a challenge any longer.
Good Luck and Enjoy Roommate Living
Related Tags: expenses, listings, roommate, roommates, roomate, roomates, flatmates, flatmate, share accommodation, budgets
Enid Steiner is a Director of Flatwithme.com.au, an Australian online roommate service. Flatwithme.com.au lets people find their perfect roommate and provides helpful share accommodation resources including calculators, questionnaires and articles.
Your Article Search Directory : Find in ArticlesRecent articles in this category:
- Personal Finance & The Needed Momentum
Possession of personal cash flow plan and the dream of having financial freedom might make it harder - Need An Ebt Card Or Food Stamps?
Applying for food stamps can be a very overwhelming and embarrassing task. Knowing what to expect th - Quick Money Loans What You Should Know
If you are looking for a quick money loan there are a few sources available, and just like any other - Same Day Cash Loans - Quick Help When Fiscal Requirements Force You
Life of human being is completely dependent on cash that establishes the life of one comfortable or - Unemployed Loans - Don't Accept Debacle Against Fiscal Requirements
In today's time, what imperative complication is increasing at the rapid pace for people? It is the - Get A Secured Credit Card To Rebuild Your Credit
The recession has spoiled the financial plans of many. Some have maxed their credit cards out, other - Ways To Create Profitable Cfd Trading Strategies
Understanding the connection between 2 significant ratios is the key to having winning CFD trading s - Can I Save Money At An Outlet Store?
Everyone loves to know they are getting a good deal when they are shopping for something. It could b - Used Car Donation Program Worth The Cause?
Used car donation program may not be the best option for many. Before you call me selfish and Paroch - Who Controls A Business's Asset When It Files For Bankruptcy?
Individuals who wake up and find themselves knee deep in debt, with no recourse to repay the debt, h
Most viewed articles in this category:
- Proposed Changes to Bankruptcy Law in Scotland
A bill has been proposed in Holyrood, the Scottish Parliament, which would align Scotland’s ba - How To Create Your Own Emergency Fund
Do unexpected car repairs, quarterly insurance payments or unexpected medical bills find you hard pr - How To Make A Personal Budget
There are many types of budgets that people use in their daily life. For instance, there are budget - Easy Cash Loans To Meet Immediate Cash Need In The Most Convenient Way
A financial crunch can happen to anyone at anytime in life. A few years back, I was stuck in the sam - Credit Counselors Offer Advice to Avoid Debt This Christmas
The holiday season is a great time of year for most of us, but it's also a time of year when we want - Save More/Spend Less - Become a Saver not a Spender
Our personality and lifestyles affects our ability to save. Most every action we take (including tho - Saving Money In College
Have you ever found yourself eating Cheerios for dinner while sitting in your dorm thinking about ho - Seek Unsecured Loans And Avoid The Threat Of Repossession
It is quite natural that people don't want to have the threat of repossession of their property whil - Investing - Tax Shelters Equals Big Fine For KPMG
What happens when a world renowned accounting firm decides to market tax shelters to its elite clien - Teaching Kids to Save--It's More Than Just Numbers
Did you know?<b>• The fastest growing group of bankruptcy filers is those 25 and you