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I read that you should never spend more for rent than you make in a week. Is that statement about rent in regards to what you make before or after taxes? Also does that mean just rent or does that include things like internet and cable TV?

Thanks for such a great question. You’re right about the amount of money to spend on rent. Ideally, it is recommended that housing costs should not exceed 25-30% of after-tax income (which is equal to about 1 week of work). If it exceeds that amount, other expenses may be tight. 

Your budget for rent should be based on your after-tax take-home pay. After all—that is all you have to spend. Your housing budget should include your rent as well as the related expenses of utilities, insurance, furnishings, maintenance, repairs, etc.

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