answersLogoWhite

0


Best Answer

No more than a third of your gross annual income should go towards housing. As for rent, you should not spent anymore than 25% of your gross income. Housing - This expense should include mortgage, insurance, gas, electricity, maintenance, and phone. (according to crown.org budget guide) Rent or your monthly mortgage payment plus each of the above should never exceed 36%. 1/3 is generally a good rule just as with the 1st answer, but don' t forget that the number includes the other housing expenses.

User Avatar

Wiki User

โˆ™ 2007-04-21 22:11:58
This answer is:
๐Ÿฆƒ
0
๐Ÿคจ
0
๐Ÿ˜ฎ
0
User Avatar
Study guides

Personal Finance

20 cards

What is rhetorical device

Who was the father of rationalism

What is a cash advance

What is discretionary spending within a budget

โžก๏ธ
See all cards

Economics

20 cards

What type of policy is a certainty that the insurance company will have to make payment

What is the purpose of the loans made by the World Bank

What is the main intention of boycotts

How does the WTO promote global free trade

โžก๏ธ
See all cards

Economics

21 cards

What does liability insurance cover

How has globalization contributed to the recent increase in international terrorism

Why is globalization potentially damaging to the environment

Why does the growth of international trade lead to a rising global standard of living

โžก๏ธ
See all cards

Add your answer:

Earn +20 pts
Q: What percentage of your gross income should go towards rent?
Write your answer...
Submit
Related questions

What percentage of your income should go towards mortgage?

Investopedia advises that the principal, interest, taxes and insurance should not exceed 28% of your gross income.


What percentage of your gross income should go towards car payment?

Not more than 30% I'd say.


What percentage of your gross income should go towards health insurance?

There is no exact percentage but it is recommended that around 10 percent of your income be put toward health insurance. Most people do not spend this much on health insurance.


What percentage of company's gross income should go towards advertising?

Most small businesses should allocate between 2 and 3 percent of revenue for advertising. That number should increase as the business grows.


What is the difference between net and gross margin?

Gross margin is Gross income as a percentage of revenue. Net Margin is net income as a percentage of revenue.


What percentage of gross income is withheld as an employees contribution medicare?

The medicare percentage is 1.45 on all gross earned income money that you work for, for the employer and the employee each.


What is an income tax?

A percentage imposed by government on the adjusted gross income.


What percentage of your gross retail store income should you expect to pay for retail rent?

10-15%


What percentage of gross income is deducted for medicare?

1.45%


What percentage of federal taxes are withheld from gross income?

Your employer payroll department would have to give you the correct percentage that they will be withholding for all of your federal taxes that they will be required to withhold from your gross income.


What percentage of gross income is withheld as an employees contribution to Medicare?

The medicare percentage is 1.45 on all gross earned income money that you work for, for the employer and the employee each.


What is the percentage of federal taxes withheld on gross income of 2442.31?

You should get the information from your employer payroll department if you really need to know the correct numbers or amount that should be deducted from your gross earnings


What percentage of gross income is withheld as an employee's contribution to Medicare?

1.45%


Is gross income or adjusted gross income used in refinance?

Gross income.


Why are gross income and adjusted gross income different?

Gross Income- The Internal Revenue Code defines gross income as "except as otherwise provided..., all income from whatever source derived." The "except as otherwise provided" refers to exclusions. Adjusted Gross Income (AGI)- is an important subtotal that serves as the basis for computing percentage limitations on certain itemized deductions, such as medical expenses, charitable contributions, and certain casualty losses.


What is the percentage sallie Mae can garnish from you per garnishment?

Up to 25% of your disposable income. Disposable income is gross - taxes.


What is the max percentage of gross income that can be assessed for child support in ga?

Federal law is 55% of grosssee link


What does the employee pay for social security and medicare?

It is calculated on a percentage basis of the gross income.


What is the maximum you should spend on housing if your gross income is 1 800 per month?

The maximum you should spend on housing is 30% of your monthly income. If your gross monthly income is $1800, you should spend no more than $540 per month.


If you pay 925.00 a month rent and my take home pay is 2500 what percentage goes to rent?

Generally, rent as a percentage of income is based on one's GROSS income (before taxes, insurance, and other deductions). Gross income should be obvious if you are salaried and easily calculable by multiplying your hourly wage by 2080 if you are a fulltime hourly employee. Obviously, working backward can be more difficult because you must take into account your own situation and taxes. Under the assumption you are in a 25% tax bracket, 2500 net take home is approximately 2500 x (100 "gross"/75 "net") or just over 3300 gross income. 925/month rent is approximately 925 rent/3300 "gross" x 100% or 28% of your gross income.


What percentage of your gross income should go towards utilities?

Utilities are largely a fixed cost that depend on where you live, not a percentage of income. It's not like you should say "I'm rich, I should leave the air conditioner on with the doors and windows open." It would be more realistic to contact your local utilities for an "average" bill amount (or, even better, an actual historical average for the specific house/apartment you're considering) and budget based on that, instead of trying to figure out how much it "should" be based on what you make.


What percentage of gross income is withheld as an employee's contribution to Social Security?

6.26.2%


How is gross income different from net income?

net income is gross income less expenses


Is gross income higher than net income?

Gross income in normally higher then net income unless there is other income then normal business operations then net income may be higher then gross income.


What should your profit be as a percentage of gross revenue?

20%