Does it seem like it is always time to pay the rent. Does the first of the month comes around faster and faster each month? Why is it that finances are always tight that week? As the holiday approaches, being able to pay the rent on time and in full can become even more stressful. We would like to offer a few suggestions that will reduce your stress and make sure that you will always be able to pay the rent on time.
Tip #1: Divide the Rent
Finding $200 each week is going to be much easier than coughing up $800 all at once. Rather than using your whole weekly paycheck (or more) to pay your rent, consider dividing it into four weekly payments.
Tip #2: Automatically Save It
Is your paychecks automatically deposited? If so, then your life just got a lot easier. Set up a savings account with your bank that is only for your rent payment. Every time you get paid, have your bank automatically deposit a portion of your rent into this savings account. Say you get paid every two weeks, then divide your rent in half and deposit one half into the savings account each paycheck. When the first comes around, your rent will always be there.
Want to know something even cooler? Since many months have a partial week, you will actually get slightly ahead of landlord in your deposits. Whatever you do, don’t touch that extra payment that sneaks in from time to time. Learn to live on what is left. When December comes around, you will have a nice chunk of spending cash – and you will be able to pay the rent in full and on time. How cool is that?!
Tip #3: Pay the Rent Online
We all love the internet. It really can save a lot of time and running around. Gone are the days of “The check is in the mail,” buying stamps and praying it does not get lost. Now you can simply pay your rent online. We offer easy ways to pay online. You can make a one-time online E-check payment or if money is really tight (or you want the airline miles) you can even pay by credit card. The site is secure, payment is guaranteed (well, as long as you have the funds) and you will get a payment confirmation.
Tip #4: Automatically Pay the Rent
If you really want to make your life simple, why not set up Auto Pay. On the day you need to pay the rent, our system will automatically withdraw your rent from the bank account or credit card of your choice. You will never have to worry about paying your rent on time again. Since your savings account is direct deposited, you will not have to worry if enough money is in your account either. If you would rather handle it yourself, no problem. Most banks offer their own auto pay feature and it is easy to set it up.
Tip #5: Make a Budget to Pay the Rent
Sometimes we find ourselves in a hand-to-mouth situation. Meaning that if you get $100 in your hand, it is going to just the bare essentials like food, hospital bills and car repairs. Perhaps you feel like your finances are out of control; like there is just not enough money coming in to make any headway let alone set something aside early to pay the rent.
If that sounds like you, there is something you can do. The first step is to sit down and honestly assess your income and expenses. Start by writing down what money you are actually bringing home each month after taxes. Now write down what must absolutely be paid each month. This will include your rent, utilities (not cable or internet because as much as you like them, you can survive without them), minimum credit card balances, car payment, alimony etc.
Subtract the total from your monthly income. Now honestly assess how much you spend on groceries, snacks, eating out and fast food. Budget a reasonable amount for clothes, medical expenses, supplies, car repairs, gas or other transportation costs.
Now look at your balance. Are you in the green or the red? If you are in the green, then you need to work on sticking to your budget. If you are in the red, then take another look at your budget, is there an area you can cut back on – at least temporarily – until you can get caught up with other expenses? Consider eating out less and cooking at home. If you still cannot see a positive balance, perhaps this is the time to contact us and we can see if we can find you a suitable home with a smaller rent payment.
Paying rent (or a mortgage) is a necessary part of life. If you take control and prepare for the expense, it will only be a blip in your radar each month rather than an alarm signal of panic.