DayCents

Savings & Banking

Rent Affordability Calculator

The rule of thumb is to keep rent under 30% of your income, but the right number depends on your other costs and goals. Enter your monthly income to see an affordable rent range and what's left over for everything else.

Use take-home (net) pay for a realistic budget; landlords often use gross.

30% is the classic guideline. Lower is safer; higher stretches your budget.

Affordable rent at 30% of income

$1,500

Comfortable (25%)
$1,250
Stretch (40%)
$2,000

Above this, rent tends to crowd out saving.

Left for everything else
$3,500

Income remaining after rent at your target.

How this calculator works

Affordable rent = monthly income × your target ratio. The comfortable (25%) and stretch (40%) figures apply the same formula at fixed ratios, and 'left for everything else' is income minus rent at your target.

This is a budgeting guideline, not a lending rule. Your ideal rent depends on your debts, savings goals, and cost of living — pair it with a full budget for the real picture.

Try an example

Frequently asked questions

How much rent can I afford?

The common guideline is no more than 30% of your income on rent — about $1,500 a month on a $5,000 income. It's a starting point, not a law: high earners can often spend less than 30% comfortably, while in expensive cities many people pay more and cut elsewhere.

Should I use gross or net income for the 30% rule?

Landlords usually apply the rule (or a 40× annual rent requirement) to gross income, but for your own budget, use take-home pay. Rent that's 30% of gross can be closer to 40% of what actually lands in your account after taxes and deductions.

What if I can't find rent under 30%?

In high-cost areas it's common to exceed 30%. If you do, protect the rest of your budget: keep other fixed costs low, get a roommate, or trade commute for rent. The real test is whether you can still save and cover essentials — not the ratio itself.

Disclaimer: DayCents provides this calculator for educational purposes only. Results are estimates based on your inputs and the stated assumptions — they are not financial advice, a quote, or an offer of credit. Consult a qualified financial professional before making major money decisions.