I’m a Financial Educator Living in New York: Here’s My Monthly Budget

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As a certified financial education instructor living in New York, learning how to budget is an absolute must, considering how expensive the city is. According to HousingAnywhere, the overall cost of living for a single person in NYC is $4,130 per month. 

Here’s my monthly budget and how I manage my finances while enjoying life in the Big Apple.

Housing

• Budgeted amount: $1,700

Rent is my largest expense, which comes as no surprise to anyone familiar with New York real estate. I live with my best friend in an area around 30 minutes away from the city, which offers a pretty solid balance between affordability and accessibility to Manhattan. Our place is a two-bedroom, two-bathroom apartment, which is a steal. Though there’s not much to do around the area, we can always take a quick subway ride to wherever we need to go.

Utilities

• Budgeted amount: $150

For electricity, gas, and internet, I allocate around $150 each month for my portion. Since both my friend and I work from home on most days, utilities can get pretty high, especially during the winter when we’re cranking up the heater. We’re currently looking into ways to lower these costs by investing in more energy-efficient appliances. 

Transportation

• Budgeted amount: $160

New York is one of the best places to live if you don’t know how to drive since it has a super convenient public transit system. Though I don’t commute to work, I still take the subway quite frequently to get to my yoga and pilates classes. Instead of buying single-trip passes for the subway, I use a monthly MetroCard, which costs around $130. Occasionally, I’ll budget for an Uber if I’m running late or need to get around the city at night, but this is pretty rare.

Groceries

• Budgeted amount: $350

I eat breakfast, lunch, and dinner at home most days of the week, so my grocery budget is typically around $350. I try to save money by shopping at more affordable grocery stores like Trader Joe’s and Aldi and planning my meals around weekly sales and seasonal produce. 

Dining Out

• Budgeted amount: $150

When I get tired of working from home, I like to bring my laptop to coffee shops and work from there for a few hours. So, each month, I set aside around $150 for dining out, which lets me explore New York’s diverse coffee shop scene without guilt. The $150 budget also lets me treat myself to a nice restaurant once or twice a month. 

Insurance

• Budgeted amount: $400

This category covers my health insurance premiums and renter’s insurance. While it’s not the most exciting expense, having proper coverage gives me peace of mind. 

Debt Repayment

• Budgeted amount: $350

Though I’m almost done paying off my student loans, I still allocate $350 a month toward it. Once I’m done paying off my student loans, this $350 will go directly into my savings to help me build wealth for the future. 

For anyone in repayment mode like me, I’d recommend putting extra toward your high-interest debt to save on interest in the long run. 

Entertainment and Subscriptions

• Budgeted amount: $200

Streaming services, occasional movie tickets, and hobbies like yoga and pilates fall under this category. 

Savings and Investments

• Budgeted amount: varies 

As a financial educator, I practice what I preach. Though my income varies each month, I always allocate at least 30% to 40% of it to this category. My savings include an emergency fund and a vacation fund, while my investments go toward a mix of index funds and a Roth IRA. 

Being Mindful of My Spending

What I’ve learned as a personal finance nerd is that being financially responsible doesn’t mean being stingy. It’s more about being intentional about your spending and mindful of where your money is going each month. And by having a budget, you’ll now have more freedom to spend since you’ll know exactly how much you can allocate to the things you enjoy without guilt or stress.

If you haven’t already built a budget, start by listing your non-negotiable expenses, setting realistic savings goals, and tracking every dollar. With a plan in place, you’ll be amazed at how much more money you can put away.

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