How to live financially responsible in a big city

How to live financially responsible when moving to a big city.

Living in a big bustling city can be much overpriced. All of your usual expenses like car insurance, utilities and rent will add up like there is no tomorrow. The objective is to get smart apps that will help you track where your money goes. These apps will keep a constant check on your financial situation. Of course, to be really effective you have to keep a close eye of your money alongside your apps. This will ensure that there is no discrepancy when checking your funds. Below I will give you advice and tips on how you can do better than survive in the big city of your dreams.


First anybody living in a big city will tell you that you need to have a budget. So before you move to your dream city, you need a plan and budget so you can have a smooth transitional experience. Having a budget is one of the best pieces of information I can give you because it will allow you to do many things. First thing you need to start a budget is a sheet of paper and pencil or eraser-able pen. Next write your reoccurring and other expenses on a sheet of paper. Then write your monthly income on the other side of the paper and analyze the two sides. Look at your budget and see where you are spending too much, and where can you save money. Being able to have a visual representation of what your income and expenses are can help you spend better.

 Have a Credit Card Spending Limit

If you are spending more of your money on the latest gadgets and the coolest leisure activities in your city, it is time to cut back. You should apply this tip try using cash for all of your purchases. Studies show there is a deeper psychological connection between spending high amounts of cash and physically seeing your money leave your wallet. I can attest to this because seeing seven hundred dollars simply go goodbye out of my wallet just made me cringe a little bit inside. It was similar to torture having to reach for seven hundred in cash and count the bills individually. Knowing how much work and sacrifice it took me to earn that much money, and there it goes into the hands of someone else. Like a bird flying away. It was horrible I was scarred for some time then. I am over it now that I have healed and willing to talk about my experience openly with the public. However you can learn from what I went through and commit the same mistake take I did. Using car is much less painful and you get the little beep or whatever sound after your card has been swiped. The feeling you get when you get approved when your card is swiped is a feeling unlike any other. But word of caution use it sparingly.

 If the Rent is Overwhelming

Ideally, your rent should be somewhere between 25-35% of your monthly income. Realistically though it could be as high as 50% of your income in some cities. At this point, if your rent is 50% or more of your income consider the possibility of a responsible roommate. They can help reduce the cost of high rent to a much more affordable price point. If you do not mind traveling further than usual, you can live on the outskirts of a city for cheaper rent. The plus here is if you get a roommate you can save that money and put it to more productive things like stock, bonds and things that give you passive income. Acknowledge that if you move to an undesirable neighborhood for cheaper rent that it will only be for a season. Because things can change, and they will change. You get a raise or get a promotion at your place of work.

 Have Multiple Avenues for Money to Come in

During the time that you are at your dream city, you are more than likely to run into some problems. Your money can only go so far that’s why millionaires have various streams of money. What can you learn from this is that you need to get into multiple streams of money thing? Search both active and passive income strategies that best fit you and your lifestyle. That’s why you need to set up an emergency fund to help come with some of the unexpected events. To set up an emergency fund you need a savings account with a bank. The next option would be to invest in easily liquidatable assets that you can get more money that you invested. This allows you to have the money ready when you need it if something unexpected were to happen. The amount in your emergency fund should be more than six months of household expenses.


You are going to have to compromise with what you got. Tell us what you have had to compromise to live where you live. Have you had to live in a bad neighborhood instead of the hip neighborhood? Some of us love riding our bikes to work going green and saving the environment. Which do you wish to maximize: convenience, atmosphere, living arrangement, or monthly cost?