What percentage of my income should go to rent?
A widely used guideline is to keep housing at or below about 30% of gross income. It's a rule of thumb, not a requirement.
By the MonthlyIQ team · Last updated 2026-09-28 · Editorial policy
Key takeaways
- A widely used guideline is to keep housing at or below about 30% of gross income. It's a rule of thumb, not a requirement.
The longer answer
The 30% guideline comes from U.S. housing policy and is still commonly used by landlords and planners. In higher-cost areas many people spend more.
A more personal test: after rent and your other fixed bills, is there enough left for flexible spending and saving? If not, housing is likely too large a share.
Worth knowing
Include renter's insurance, parking, and utilities you pay separately when you judge what housing really costs you.
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General information only, not financial, tax, or legal advice. MonthlyIQ is not a bank or financial adviser.