The widely recommended guideline is no more than 30% of gross income on rent. Some financial advisors suggest 25% for more breathing room.
Examples:
$50,000/year salary → Max rent $1,250/month
$75,000/year → Max $1,875/month
$100,000/year → Max $2,500/month
If you are spending more than 30%, look at: getting a roommate, moving to a cheaper area, or increasing income. Housing is typically the biggest expense — getting this right fixes most budget problems.
Budget guide: 50/30/20 Rule
Disclaimer: This website provides general educational information only and does not provide personalized investment advice or recommendations. Financial decisions should be made after considering individual circumstances and consulting a qualified professional where appropriate. Mutual fund investments are subject to market risks. Please read all scheme-related documents carefully before investing. Past performance does not guarantee future results.