Can I afford to pay this much rent?

Heat_Wave

Hi All

I would like to hear people's opinions on this.

Could someone on a salary of 28k afford rent of €650 per month (bills included)?

Genuine question. Realistic answers please.

Thanks
HW

Graham

A single person on 28k should be taking home around €1956 per month after usual deductions.

After rent/bills of €650 that leaves around €1,300.

It's not going to be a caviar and champagne lifestyle but it's not starvation rations either.

irishguy1983

Graham wrote: »

A single person on 28k should be taking home around €1956 per month after usual deductions.

After rent/bills of €650 that leaves around €1,300.

It's not going to be a caviar and champagne lifestyle but it's not starvation rations either.

Pretty much bang on.

eeguy

irishguy1983 wrote: »

Pretty much bang on.

You can live on it. Personally 1/3 of your take home going on rent is the absolute limit.

JTL

You'll need to budget obviously but yes, it's manageable.

VonLuck

I'm sorry, but that's not really an answer anyone here can give you. Sure you may be able to afford to pay €650 in rent a month, but it might not with the lifestyle you have in mind. We have no idea of other outgoings you might have, savings goals etc.

Have you prepared a monthly budget? That's the only way to really know.

mickdw

If you run a car and pay 600 per month to finance it in addition to running costs, no, you cannot afford 650 for rent. If on the other hand you don't have a car and walk to work, you should easily afford the rent.
In short, not enough info to accurately comment.

Heat_Wave

I save €200 per month, and I have €150 going into my pension. Phone bill is €50, petrol is approx €50 per month.

I think I may have to scrap the savings and pension. Is this wise though? I'm 26 btw.

Brobromococo

Good lord, I have 200e left to spend for the MONTH after my rent and bills, I am just an average 29 year old nurse living with my partner and our baby. If we get by every month there is no reason you cannot.

Heat_Wave

Brobromococo wrote: »

Good lord, I have 200e left to spend for the MONTH after my rent and bills, I am just an average 29 year old nurse living with my partner and our baby. If we get by every month there is no reason you cannot.

I guess this is what I need, a reality check.

I am brutal with money. Every month I am back down to zero the day before payday. I'm hoping this will help train and discipline me where budgeting is concerned.

Mrs OBumble

eeguy wrote: »

You can live on it. Personally 1/3 of your take home going on rent is the absolute limit.

Depends what you're spending on transport and food.

Personally I'd rather pay more rent and live somewhere walkable with a Lidl or Aldi within range, than the opposite.

CruelCoin

Heat_Wave wrote: »

I think I may have to scrap the savings and pension. Is this wise though? I'm 26 btw.

No, not in the slightest.

Not that you have a choice anyway, given there are proposals floating around to force people to have private pensions and not rely solely on the state pension when they retire.

As for the savings, without this you're one blown engine/illness away from disaster. At a minimum you should be able to survive on your savings for a period of no less than 3 months.

Your best bet is to just tighten the belt and budget plan.

Aye Bosun

When working this out, I always go by the 50-20-30 method of budgeting..have a look here
http://www.feedthepig.org/get-started/spending#.V5h4JxLdfoc
It's well the worth the read and has worked my finances out very nicely over the years!

Angel2016

Heat_Wave wrote: »

I save €200 per month, and I have €150 going into my pension. Phone bill is €50, petrol is approx €50 per month.

I think I may have to scrap the savings and pension. Is this wise though? I'm 26 btw.

Going on figures of take home pay 1956 you would be left with 856 take out 160.00 for food shopping and for elec n gas which you will be paying I think you will be okay it's tight but people are living on less.
Do a budget on an excel sheet dont get rid of savings n pension they are good things to have especially the savings that can go towards a deposit for your own place one day.

I think if you were left with 500 for socializing or whatever you chose to spend it on your doing grand.

audi12

Brobromococo wrote: »

Good lord, I have 200e left to spend for the MONTH after my rent and bills, I am just an average 29 year old nurse living with my partner and our baby. If we get by every month there is no reason you cannot.

That is depressing 200 left every month. Someone should tell people when they start in the college do four or five years come out get a job and you will scrape by pathetic.

OldMrBrennan83

This post has been deleted.

Graham

audi12 wrote: »

You pay half on everything over 33,000 or thereabouts communist russia would be delighted with that. We will base it on being single not if and buts in relation to getting married.

Are you sure you're replying to the post you quoted?

Heat_Wave

On a side note, I've never rented before, so not familiar to scams. Would like to hear people's thoughts on this.

Saw a place on Daft, it's not through an agency. Emailed the landlord directly. She emailed back a very long email saying how her father died recently and she has flown back to Ireland to rent out his apartment. She asked me to view it yesterday evening, only giving me one hours notice. I couldn't make it obviously, as it was too short notice.

She emailed me this evening and told me she has secured one of the rooms already, and gave me a bizarre foreign name of the person who has rented it, along with their email address and occupation. She said this person is moving in at the end of August. She then said she is in London for the next month so I won't be able to view it, but has asked me to let her know if I am still interest and she will send on forms etc to fill out. She asked for a copy of my passport, current address and a deposit of €650.

Surely this is a scam? How can anyone sign to a place without viewing it.

This place is absolutely stunning, in one of dublins top locations, and for €650 per month it seems too good to be true.

Obviously I am not going to send any passport photo or money, obviously.

Is this a scam? Have I any way of checking it out?

She gave me the email address of the girl that has taken the other room and she has suggested I email her to 'get to know her'. Her email address was bizarre, something along the lines of '12sk@hotmail.com'. Obviously I will not be doing this either.

Angel2016

<mod snip> I think the OP could manage the 650 pm rent if he is careful and budgets its very workable.

tina1040

Heat_Wave wrote: »

On a side note, I've never rented before, so not familiar to scams. Would like to hear people's thoughts on this.

Saw a place on Daft, it's not through an agency. Emailed the landlord directly. She emailed back a very long email saying how her father died recently and she has flown back to Ireland to rent out his apartment. She asked me to view it yesterday evening, only giving me one hours notice. I couldn't make it obviously, as it was too short notice.

She emailed me this evening and told me she has secured one of the rooms already, and gave me a bizarre foreign name of the person who has rented it, along with their email address and occupation. She said this person is moving in at the end of August. She then said she is in London for the next month so I won't be able to view it, but has asked me to let her know if I am still interest and she will send on forms etc to fill out. She asked for a copy of my passport, current address and a deposit of €650.

Surely this is a scam? How can anyone sign to a place without viewing it.

This place is absolutely stunning, in one of dublins top locations, and for €650 per month it seems too good to be true.

Obviously I am not going to send any passport photo or money, obviously.

Is this a scam? Have I any way of checking it out?

She gave me the email address of the girl that has taken the other room and she has suggested I email her to 'get to know her'. Her email address was bizarre, something along the lines of '12sk@hotmail.com'. Obviously I will not be doing this either.

There was a story similar to this on Joe Duffy a few weeks ago. He rang live on the air to the "landlord" posing as the parent of a girl who was looking to rent it. He was asking questions in relation to the area like buses/dart and proximity to daughter's place of employment. It was obvious from the answers that it was a scam.

Graham

Heat_Wave wrote: »

On a side note, I've never rented before, so not familiar to scams. Would like to hear people's thoughts on this.

Report the ad (if you haven't already).

Angel2016

Heat_Wave wrote: »

On a side note, I've never rented before, so not familiar to scams. Would like to hear people's thoughts on this.

Saw a place on Daft, it's not through an agency. Emailed the landlord directly. She emailed back a very long email saying how her father died recently and she has flown back to Ireland to rent out his apartment. She asked me to view it yesterday evening, only giving me one hours notice. I couldn't make it obviously, as it was too short notice.

She emailed me this evening and told me she has secured one of the rooms already, and gave me a bizarre foreign name of the person who has rented it, along with their email address and occupation. She said this person is moving in at the end of August. She then said she is in London for the next month so I won't be able to view it, but has asked me to let her know if I am still interest and she will send on forms etc to fill out. She asked for a copy of my passport, current address and a deposit of €650.

Surely this is a scam? How can anyone sign to a place without viewing it.

This place is absolutely stunning, in one of dublins top locations, and for €650 per month it seems too good to be true.

Obviously I am not going to send any passport photo or money, obviously.

Is this a scam? Have I any way of checking it out?

She gave me the email address of the girl that has taken the other room and she has suggested I email her to 'get to know her'. Her email address was bizarre, something along the lines of '12sk@hotmail.com'. Obviously I will not be doing this either.

Defo a scam

DaeryssaOne

This is 100% a scam I would report it immediately to Daft

Heat_Wave

How can I report something without evidence of it being a scam?

Graham

Heat_Wave wrote: »

How can I report something without evidence of it being a scam?

It waddles and it quacks. It's a duck.

Report it.

It doesn't have to hold up in a court, all it has to do is flag to daft that they should investigate.

Hollister11

Heat_Wave wrote: »

Hi All

I would like to hear people's opinions on this.

Could someone on a salary of 28k afford rent of €650 per month (bills included)?

Genuine question. Realistic answers please.

Thanks
HW

Your salary of 28K is 2333 a month.

Rent = 650 P/M
Food = 200P/M
Bills = 200P/M

That's 1050 a month, leaving you with 1280 a month. You should be able to put 500 into a savings account for a house, and keep the rest for entertainment.

Save more if you can obviously.

goldenhoarde

Hollister11 wrote: »

Your salary of 28K is 2333 a month.

Rent = 650 P/M
Food = 200P/M
Bills = 200P/M

That's 1050 a month, leaving you with 1280 a month. You should be able to put 500 into a savings account for a house, and keep the rest for entertainment.

Save more if you can obviously.

@ hollister1 you make no account of tax/prsi/usc

With the pension contritubtion its about 1860 net leaving 1200 after rent

Graham

Hollister11 wrote: »

Your salary of 28K is 2333 a month.

Rent = 650 P/M
Food = 200P/M
Bills = 200P/M

That's 1050 a month, leaving you with 1280 a month. You should be able to put 500 into a savings account for a house, and keep the rest for entertainment.

Save more if you can obviously.

Is the OPs intention to save a deposit for a house?

Hollister11

goldenhoarde wrote: »

@ hollister1 you make no account of tax/prsi/usc

With the pension contritubtion its about 1860 net leaving 1200 after rent

OP never mentioned if the stated salary was gross or net.

Alanstrainor

OP it's easily done I would say. I paid 700 rent and earned similar to you and found I was getting by perfectly fine, comfortably even. I was still able to pay all my bills, my car bills and a holiday. On top of saving monthly for a rainy day.

Heat_Wave

I'll report it now.

Very disheartening. I was very excited.

Heat_Wave

The ad is gone already.

I hope I have nothing to worry about. He/she has
my email address and I told them where I work.

H3llR4iser

Heat_Wave wrote: »

Hi All

I would like to hear people's opinions on this.

Could someone on a salary of 28k afford rent of €650 per month (bills included)?

Genuine question. Realistic answers please.

Thanks
HW

For about three years, I was on a 25k (gross) salary paying 800 Euro/month rent, in Cork. No real problem with it, just needed to be a bit careful with non-necessary expenses (e.g. "I want" rather than "I need"), but nothing extreme - I would go out, to the cinema, buy the occasional Xbox game, take a holiday each year.

The one caveat was that I didn't have a car during those years, as I lived quite literally across the street from works (and in the city centre).

Graham

Heat_Wave wrote: »

The ad is gone already.

I hope I have nothing to worry about. He/she has
my email address and I told them where I work.

They're usually only interested in scamming you for the first months rent/deposit. I think you're safe enough.

Brobromococo

Brobromococo wrote: »

Good lord, I have 200e left to spend for the MONTH after my rent and bills, I am just an average 29 year old nurse living with my partner and our baby. If we get by every month there is no reason you cannot.

€50 a week for three of you? Really?

The_Conductor

draiochtanois wrote: »

This post has been deleted.

Including PRSI and USC- the marginal rate of tax on income earned over 33,800- is in fact either 52 or 55% (depending on which rate of PRSI and USC you're on)

As for figures-

In 2015 there were 2,341,212 taxpaying units (tax paying employees) in Ireland
129,919 of these earn over 100,000 per annum
433,946 employees earn >33,800 per annum- and pay tax at either 52 or 55% on their marginal income- i.e. 300,000 odd workers- about 13-14% of the workforce- earn under 100k and pay tax at the higher level
881,700 employees- don't pay income tax- as they are below the threshold to do so, and of this cohort- 648,700 also don't pay USC. This group of people who don't pay tax- comprises just over 38% of the workforce..........

Revenue have gotten very good at releasing pre-digested datasets recently........

Caliden

Heat_Wave wrote: »

I save €200 per month, and I have €150 going into my pension. Phone bill is €50, petrol is approx €50 per month.

I think I may have to scrap the savings and pension. Is this wise though? I'm 26 btw.

Personally I'd keep the savings and pension. You'll thank yourself in 10 years that you kept up the pension. Plus with the way tax is calculated you're not losing a lot of your NET pay on the pension contribution.


You could try reduce the phone bill if you're out of contract.
I'm on a sim only plan for 15 a month that has calls/texts/20gb data.

Make your own lunches for work (factor in making extra when you're cooking your dinner the night before). I've found groceries were absolutely wrecking my balance.

Stopped doing 2/3 shops a week in supervalu and swapped to lidl/butchers/dunnes.

You'll definitely be able go out for pints/dinners on what's left over. Personally I prefer making sacrifices on other things than sacrificing a social life.

goldenhoarde

Hollister11 wrote: »

OP never mentioned if the stated salary was gross or net.

True I assumed gross and you Net so we're both right till the OP clarifies!

Danger781

Hijacking this thread a little bit as I have the same question crossing my mind.. I'm currently living at home and I'm not sure how much longer I can put up with it.. I've been looking on Daft for 1-2 bed places in Cork city centre, suburbs, and commuter towns. I really don't want more than a 20 minute commute to work. The majority of 1-2 bed places are about 850 - 1500 range, which obviously is huge money to be forking out every month.

I was thinking I would be able to pay up to about 850/month in rent:

I'm currently earning roughly 2100/month after tax:
Rent: -850
Car finance repayments: -250
Car Insurance: -120
Phone credit: -20
Savings: -400
Petrol: -80 (Guesstimate, I don't drive a lot)
= Remaining €380 for the month

Note:

• My car insurance of 1400 has been paid off in full for the year already, but I figured it would be best to include it anyway in the monthly cost. I'd rather have the extra money lying around this time next year.
  
• I have considered house sharing, but I get up at 6AM during the week for work. On nights where I am not working I stay up quite late (2-4AM) playing video games with friends. This will usually involve speaking on Skype / Teamspeak so I don't want to piss people off.

Am I mental to consider paying out close to a grand a month in rent?

AlmightyCushion

Danger781 wrote: »

Hijacking this thread a little bit as I have the same question crossing my mind.. I'm currently living at home and I'm not sure how much longer I can put up with it.. I've been looking on Daft for 1-2 bed places in Cork city centre, suburbs, and commuter towns. I really don't want more than a 20 minute commute to work. The majority of 1-2 bed places are about 850 - 1500 range, which obviously is huge money to be forking out every month.

I was thinking I would be able to pay up to about 850/month in rent:

I'm currently earning roughly 2100/month after tax:
Rent: -850
Car finance repayments: -250
Car Insurance: -120
Phone credit: -20
Savings: -400
Petrol: -80 (Guesstimate, I don't drive a lot)
= Remaining €380 for the month

Note:

• My car insurance of 1400 has been paid off in full for the year already, but I figured it would be best to include it anyway in the monthly cost. I'd rather have the extra money lying around this time next year.
  
• I have considered house sharing, but I get up at 6AM during the week for work. On nights where I am not working I stay up quite late (2-4AM) playing video games with friends. This will usually involve speaking on Skype / Teamspeak so I don't want to piss people off.

Am I mental to consider paying out close to a grand a month in rent?

It's certainly doable although you would probably have to reduce the amount you save every month.

I wouldn't rule out house sharing. As long as you or the people you move in with aren't especially light sleepers and you aren't shouting into the mic when playing games you'd probably get on grand.

Ms Doubtfire1

Danger781 wrote: »

Am I mental to consider paying out close to a grand a month in rent?

yes. I would absolutely advise sharing. Anything unexpected (plus you should never pay more that 35% of your salary in rent) and you're down the drain.
Daft is not the only site.
https://www.donedeal.ie/tolet-for-sale/1-double-bedroom-glanmire/12950790

Danger781

AlmightyCushion wrote: »

I wouldn't rule out house sharing. As long as you or the people you move in with aren't especially light sleepers and you aren't shouting into the mic when playing games you'd probably get on grand.

I can get unintentionally loud at times out of sheer frustration :pac:

Ms Doubtfire1

Danger781 wrote: »

I can get unintentionally loud at times out of sheer frustration :pac:

but thats inside your control:D

AlmightyCushion

Danger781 wrote: »

I can get unintentionally loud at times out of sheer frustration :pac:

Yeah that'll happen but as long as it's not very often it's grand. You also have to take in mind your housemates will probably be loud at times when you have work at 6AM so you can't give them stink over it as long as it's not all that often either. It's give and take. Seriously, try house sharing. I've been doing it for years and there's nothing in your post that would put me off. I've had housemates do far worse than just make a bit of noise at 4AM. Sharing would save you a few hundred on rent and bills, it's worth it.