Going flatting? Here are some money tips

Before you accept a flat, it’s important to make sure you can afford to cover all your expenses.

Here are just some of the costs of flatting:

Set-up costs

• Bond – this will usually be between two and four weeks’ rent.
• Rent in advance – some landlords also require you to pay two weeks’ rent before you even set foot in the door.
• Furniture – you’ll probably need to furnish your own room, and perhaps share the costs of furnishing the common areas as well.
• Homewares – you may also need to provide appliances and other kitchenware like crockery and cutlery.
• Letting fee – if you’re renting through an agent, you may have to pay a letting fee – usually one week’s rent plus GST.

Ongoing costs

• Rent – this will usually need to be paid at the same time every week or fortnight.
• Living costs – your share of food, power, gas, internet, pay TV and so on. You may also have to pay water rates in some areas.

Other costs

Don’t forget your other expenses as well.

• Car – petrol, rego, warrant of fitness, tyres and so on.
• Insurance – car and contents.
• Entertainment – eating out, holidays, sport, gaming, your phone bills. It all adds up.
• Shopping – clothes, shoes, new toys.

If you find your costs are going to be more than your income, then be prepared to cut down on unnecessary expenses – usually entertainment and shopping.

A flat bank account keeps things simple and tidy. You and your flatmates can transfer a fixed amount of money each week from your own bank accounts to the flat account, and all shared expenses can be paid from the flat account. This could include everything from the rent to cleaning products and toilet paper.

Our Streamline account works well as a flat account. You won't pay any transaction fees when you use EFTPOS or an ABC Bank ATM machine (other transaction fees apply), or move money around using online banking or the ABC Bank Mobile app. And if you choose to stop receiving paper statements you’ll pay no monthly base fee either. 

Having an ABC Bank account also gives you access to cool features like Save the Change, which could help your flat save towards something special.

You may also like to set up a joint account so everyone has access to the flat account. But before you sign up for one, please read our guide to joint bank accounts so you know exactly what you’re in for.

Your power (and gas if you have it) are big suckers of money – and prices can vary, sometimes by a lot. So shop around before deciding which power company to use.

Powerswitch is a great place to start. It helps compare different power companies on both service and price based on how much power you’re likely to use. And it gives you helpful tips on saving energy too, which – of course – saves you money as well.