5 Ways to Split Living Expenses with a Roommate

You might have found the perfect roommate and the perfect place to live, but have you found the perfect plan to share expenses? These tricks will fix the financial fuss and make your home a happy one. 

1. Use Digital Platforms to Split Expenses

Gone are the days of sitting around with stacks of bills and a calculator. No more tallying costs and then nagging each other to settle up. With an online digital manager like Splitwise, you can send an IOU notice to your roommate or live-in significant other whenever you pay a bill. This makes dividing the costs of utilities, rent, renters insurance and even groceries, fast, easy and math-free.

2. Create a Spreadsheet to Get Organized

A spreadsheet might be just the tool you need to split household bills, especially if one of you handles all the payments and the other reimburses for his or her share. This also allows you to avoid having to invite your roommates or partner to sign up for an app and then bugging them to use it, which could be another pain point altogether. There are plenty of free shared expenses templates online to choose from.

3. Exchange Money In Seconds

Deciding who owes what and to whom is half the battle. Venmo is one popular money-exchange app that allows you to split expenses quickly, efficiently and free of charge. How it works: Venmo connects to your checking account (or through your debit card) to facilitate withdrawals and deposits between you and your contacts. 

4. Schedule Direct Deposit for Rent

If your household struggles with gathering everyone’s portion of the rent each month, and then paying the landlord on time, RentShare is for you. This app allows you to set up a direct deposit with your landlord. Housemates can then each pay individually via autopay from their bank accounts — all at the same time. 

5. Share An Account

If you’re living with a significant other but don’t want to open a traditional joint checking account, try a shared account on Simple. You’ll each have your own account, in addition to a shared version, and you’ll both be able to add money to the shared account to pay joint bills, such as rent or utilities. You’ll also get a notification each time one of you makes a transaction. For added peace of mind as you share expenses, you can use the app’s Safe-to-Spend function, which earmarks funds for your budget and savings goals.  

Is one of your shared expenses renters insurance? If you’re renting, it should be. Contact your local Farm Bureau agent for more information about renters insurance.