Moving Out of Home - Tips For Young People Moving Out of Home - Tips For Young People | Page 2

But if you move out before you are in a position to support yourself, you may hurt your
credit and end up back home. Ask yourself these questions before you move out.
01 Can You Cover Your Bills?
Before you move out, you need to make sure that you can afford to live on your own. You
should write down a detailed monthly budget, including any extra expenses that you will
be taking on when you move out. These include items such as utilities, transportation costs,
food, and rent. It's also important to include a surplus of cash as an emergency fund for
unanticipated expenses, such as insurance deductibles, tolls, and vacations.
If you've been living at home, you may have been spending a larger portion of your salary
on entertainment or other non-essential spends. Once you move out on your own, you may
have to cut back in this area.
Before you move out, try living on a set budget for the next two months as if you are living
alone. Be sure to put any extra money into an emergency fund. This plan will indicate
whether you are able to afford to live on your own and prepare you for a much smoother
transition. Another bonus? You'll build an emergency fund in the meantime.