Apartments are expensive. In fact, all forms of housing are expensive. In some cases people spend 40 to 50% of their household income for housing. However, this is really more than is appropriate. You should attempt to limit your housing cost, including utilities and other related expenses, to 30 or 35% of your household income.

Before looking for an apartment is a great time to review your expenses and prepare a budget. Gather your credit cards bills and check register and tabulate how much you are spending on each category. You may be surprised how much you are spending on some categories. Review your expenses. Do they make sense. Review the amount you're saving. Consider saving at least 10% of your gross pay for retirement, your children's education, and a down payment for a house. Yes, it is difficult to set aside money. However, it will not get easier as time goes by.

Now that you have reviewed your expenses by category, review the amount you have been spending for housing and determine an amount which is comfortable. Attempt to keep your housing expenses at no more than 30 to 35% of household income. Household income is your gross pay. Housing includes rent, electric, water and gas.

Preparing this analysis should not take more than 30 minutes to an hour. Money problems are one of the primary sources of stress for most families. The simple exercise will help you to develop an appropriate budget for your apartment and give you perspective on your other expenses.