Rent Affordability Calculator: How Much Rent Can You Afford?
The 30% Rule: Simple but Not Perfect
The classic guideline: spend no more than 30% of your take-home salary on rent. On ₹60,000/month take-home, that’s ₹18,000 maximum. But in expensive cities like Mumbai or Bangalore, most people spend 35–45% on rent — squeezing savings and discretionary spending.
What "Affordable" Really Looks Like
| Take-Home Salary | 30% (Comfortable) | 40% (Stretched) | 50% (Danger Zone) |
|---|---|---|---|
| ₹40,000 | ₹12,000 | ₹16,000 | ₹20,000 |
| ₹60,000 | ₹18,000 | ₹24,000 | ₹30,000 |
| ₹1,00,000 | ₹30,000 | ₹40,000 | ₹50,000 |
| ₹1,50,000 | ₹45,000 | ₹60,000 | ₹75,000 |
Beyond Rent: The True Cost of Location
- Commute cost: A cheaper suburb that adds ₹5,000/month in travel + 2 hours daily eliminates the savings
- Maintenance charges: ₹2,000–8,000/month in gated communities — add to rent equivalent
- Deposit: 2–10 months’ rent locked up (opportunity cost of that capital)
- Utilities: Add ₹2,000–5,000/month for electricity, water, gas, internet
The decision isn’t just "can I afford ₹25K rent?" but "does ₹25K rent leave enough for savings, EMIs, and life?" If spending above 30%, explore whether buying might make sense. Use the rent affordability calculator to find your ideal range.