Living with roommates can be a smart way to save money, but it also means sharing the responsibility of managing household costs. Find simple ways to keep your finances—and your friendships—in good shape when living together.
Talk About Money Before You Move In
It might feel awkward, but having a conversation about money before moving in can prevent future stress. Talk about how you’ll split rent, who will handle utility payments, and how grocery costs will be managed. These conversations help make sure everyone’s expectations are clear and avoid surprises that could lead to conflict.
Apps like Splitwise make tracking shared expenses simple, and it’s smart to agree in advance on how you’ll use tools like this to stay organized.
Write Down What You Agree On
A written roommate agreement might sound formal, but it can save a lot of trouble down the line. This can be as simple as a shared Google Doc that outlines what each person owes, when payments are due, and who is responsible for each bill. It’s a useful way to make sure everyone is on the same page, especially when unexpected costs come up.
You don’t need a lawyer for this—it’s just about creating a mutual understanding you can refer back to.
Find a Fair Way to Split Costs
Not every household needs to divide things 50/50. Some roommates have different incomes, room sizes, or levels of use for things like electricity. If one person has the master bedroom or makes more money, it might make sense to split costs based on income or room size instead.
A tool like the rent split calculator from Homebase can help figure out a fair division of rent, especially in situations where bedrooms are different sizes or one person has private access to a bathroom or closet.
Make Technology Your Friend
There are plenty of free apps designed to help roommates manage money. With Venmo, you can quickly send or request payments. Zelle is another easy option that works directly between bank accounts. And if you’re all using Splitwise, it will keep a running total of who owes what, which can be settled up weekly or monthly.
Using apps reduces the need for constant reminders and helps keep things fair without getting personal.
Set a Regular Schedule
Bills are a part of adulting, and sticking to a schedule helps everyone stay on top of them. Decide when each bill is due and who will handle making the payments. For example, one person might take care of rent, another might pay the internet bill, and so on.
Setting calendar reminders on your phone or using a shared online calendar can help keep things on track. If one person always forgets, setting up auto-pay through your bank or service provider can prevent missed payments and late fees.
Handle Shared Purchases With a Plan
Living together means sharing things like toilet paper, dish soap, and garbage bags. These items may seem small, but the costs can add up quickly. Some roommates prefer taking turns buying essentials, while others pool money each month for household supplies.
To avoid confusion or resentment, decide how you’ll handle these costs in advance. Apps like Splitwise can track these shared expenses just like they do for rent and bills, making it easy to settle up.
Expect the Unexpected
What happens if the fridge breaks or the power bill is way higher than usual? Talk about how you’ll handle unexpected costs so everyone feels prepared. Will you split things evenly? Will each person be responsible for the repairs in their own room?
Even if you can’t plan for every emergency, having a rough agreement in place can make tough situations easier to handle.
Check In Every Few Months
Things change—people switch jobs, move out, or take on new responsibilities. Make time to review your budget and agreements every couple of months. This helps keep everything fair and gives everyone a chance to speak up if something’s not working.
Keeping communication open and respectful is key. Living together can be a great experience if you treat financial talks as part of being good roommates—not just roommates, but a team.
Sources:
Truist – How to Split Costs With Roommates
