Odd way of paying bills

[thatgirliknew]

So, a friend and I are going to be getting a house together (rental). We have been living together since October with my STBXH and we didn't have to work because I was a full-time student and my friend just had surgery. Now, we're both just starting our jobs and getting a place with my student aid money (about $5k). I have no experience with how they are paying bills, and I want to make sure they get paid (I just found out that STBXH didn't pay rent for 5 months!)

What I was thinking of doing is paying the security deposit and two months rent. But, I want to start "paying rent" immediately so we always have a balance on the account in case an emergency happens. But we should always be a month ahead.

This part will probably work best if I do an example. Say the rent is $500. That's $250 a piece or about $60 a week. I'm wondering if anyone has any experience paying their rent in weekly installments? Would landlords do that? Because I'd rather know I'm paying rent every week than waiting until the end of the month and finding out the other person doesn't have theirs. This way, I could just go on paycheck day to roomie and say "Pay up." lol

[JollyGG]

Have you ever seen this budgeting program - http://www.youneedabudget.com/method/rule-four.

I ran into it looking for something to replace our old MS Money software program. I ended up not getting anything and just using a spreadsheet. However, the idea of the above program is good. It starts with building up a month's budget in savings (which would be easy for you since you are living on student loans). Then you always pay your bills out of last months income, putting this month's income away for next month's spending and savings. It works because you always know exactly how much you have to spend and can budget appropriately.

Your plan made me think of it. It might be something worth checking out.

[crunchy_mommy]

I guess that could work as long as your friend/roommate is on board.

Personally I'd find it incredibly annoying to pay bills weekly. I do know some landlords rent this way though. It just depends on the landlord.

I also wouldn't pay rent too far in advance because then you kind of lose your leverage should you need something fixed or whatever. Plus you lose any interest you would have accumulated in savings (not that you can get much in interest these days anyway!)

Are you worried about your friend falling behind, or you falling behind yourself? (Or both?)

[thatgirliknew]

Originally Posted by JollyGG 

Have you ever seen this budgeting program - http://www.youneedabudget.com/method/rule-four.

I ran into it looking for something to replace our old MS Money software program. I ended up not getting anything and just using a spreadsheet. However, the idea of the above program is good. It starts with building up a month's budget in savings (which would be easy for you since you are living on student loans). Then you always pay your bills out of last months income, putting this month's income away for next month's spending and savings. It works because you always know exactly how much you have to spend and can budget appropriately.

Your plan made me think of it. It might be something worth checking out.

YES! That is essentially what I want to do. (Although I'm not sure if I'm going to tell the roomie I have a month of expenses saved up lol)

[thatgirliknew]

Originally Posted by crunchy_mommy 

I guess that could work as long as your friend/roommate is on board.

Personally I'd find it incredibly annoying to pay bills weekly. I do know some landlords rent this way though. It just depends on the landlord.

I also wouldn't pay rent too far in advance because then you kind of lose your leverage should you need something fixed or whatever. Plus you lose any interest you would have accumulated in savings (not that you can get much in interest these days anyway!)

Are you worried about your friend falling behind, or you falling behind yourself? (Or both?)

I'm worried about him falling behind. I want him to give me the money each paycheck so it doesn't magically disappear. I can pay the bills by myself, but I shouldn't have to and don't want to. I just want to be extra cautious.

[crunchy_mommy]

Hmm if you can't trust your friend to pay the bills it might be worth considering a different living situation. Otherwise, if you are both adults, I think you need to just trust him to do his part in paying the rent. Perhaps settle on some kind of agreement like: if either of you misses rent twice, that person must move out?

[TiredX2]

Originally Posted by crunchy_mommy 

Hmm if you can't trust your friend to pay the bills it might be worth considering a different living situation. Otherwise, if you are both adults, I think you need to just trust him to do his part in paying the rent. Perhaps settle on some kind of agreement like: if either of you misses rent twice, that person must move out?

Do you have a reason to think he won't pay his bills?  As an adult, I would be on the edge between annoyed and ticked if someone asked me to prepay a bill because they didn't think I was responsible enough to pay it on time.  Even writing the extra checks would grate on me.  If your friend has shown before that they are not responsible with money, I'd think it was *reasonable* for you to ask, but also be prepared to have a lot of stress around this matter (are you splitting other bills too?)

[bmcneal]

Originally Posted by thatgirliknew 

So, a friend and I are going to be getting a house together (rental). We have been living together since October with my STBXH and we didn't have to work because I was a full-time student and my friend just had surgery. Now, we're both just starting our jobs and getting a place with my student aid money (about $5k). I have no experience with how they are paying bills, and I want to make sure they get paid (I just found out that STBXH didn't pay rent for 5 months!)

What I was thinking of doing is paying the security deposit and two months rent. But, I want to start "paying rent" immediately so we always have a balance on the account in case an emergency happens. But we should always be a month ahead.

This part will probably work best if I do an example. Say the rent is $500. That's $250 a piece or about $60 a week. I'm wondering if anyone has any experience paying their rent in weekly installments? Would landlords do that? Because I'd rather know I'm paying rent every week than waiting until the end of the month and finding out the other person doesn't have theirs. This way, I could just go on paycheck day to roomie and say "Pay up." lol

When I was working, we paid our rent weekly. It was something we asked to do, and he was okay with it. Now that it's just DF paying, we pay bi-weekly. Our landlord, at least, is very pleased. He has told me on numerous occasions that we're his best tenants.  Because we are always on time for the rent (always have the rent paid by the first) or ahead, and pretty prompt. I've never had a landlord say no when I've asked. 

Originally Posted by crunchy_mommy 

I guess that could work as long as your friend/roommate is on board.

Personally I'd find it incredibly annoying to pay bills weekly. I do know some landlords rent this way though. It just depends on the landlord.

I don't mind it, personally. That way, I know I've got it taken care of. But that of course is a personal preference. 

I also wouldn't pay rent too far in advance because then you kind of lose your leverage should you need something fixed or whatever. Plus you lose any interest you would have accumulated in savings (not that you can get much in interest these days anyway!)

It may depend on the state, but at least in Tennessee, you can't withhold rent in lieu of getting maintenance. We tried that once, when our toilets were backing up directly into the bathtubs and the furnace/heaters we were promised never came (the unit did not have a furnace or any way of heating/cooling when we moved in, but we were told there would be a furnace or adequate heaters provided before it got too cold. Neither came. What we had to do was call health department/department of coding and have them investigate. It was a nasty situation, with our landlord even attempting to direct them to a different unit when they came out, even though we described the unit and the person coming to check *knew* it was the wrong unit, and called us back after visiting "our" unit. I would strongly suggest checking into the laws in your area before doing something like that, if that is what you were talking about. If not, I apologize.

Are you worried about your friend falling behind, or you falling behind yourself? (Or both?)

[MeepyCat]

In re:  paying rent in weekly installments -

Most landlords will absolutely agree to this.  There are 12 months in a year, but 52 weeks, so if you agree to pay a fourth of the rent every week, they get 13 months worth of rent.  It's a great deal for them.  Not so awesome for you.

Putting money away in advance to pay the rent is fine, as is creating a household kitty or joint account that you both fund on a regular basis, and use to pay household expenses.  But don't agree to pay the landlord more then you have to.

[crunchy_mommy]

Originally Posted by bmcneal 

It may depend on the state, but at least in Tennessee, you can't withhold rent in lieu of getting maintenance. We tried that once, when our toilets were backing up directly into the bathtubs puke.gifand the furnace/heaters we were promised never came (the unit did not have a furnace or any way of heating/cooling when we moved in, but we were told there would be a furnace or adequate heaters provided before it got too cold. Neither came. What we had to do was call health department/department of coding and have them investigate. It was a nasty situation, with our landlord even attempting to direct them to a different unit when they came out, even though we described the unit and the person coming to check *knew* it was the wrong unit, and called us back after visiting "our" unit. I would strongly suggest checking into the laws in your area before doing something like that, if that is what you were talking about. If not, I apologize.

Oh man, you have had some crappy luck!!!

Yeah, I don't know the laws about actually withholding rent, I guess I was thinking more along the lines of... if the landlord knows he's got rent money for the next 2-3 months, maybe he'd be more likely to get lax about the routine maintenance stuff? Kind of like when you pay someone in advance for a service and they do a crummy job, since they've already gotten the money & it doesn't really matter...

[bmcneal]

Originally Posted by MeepyCat 

In re:  paying rent in weekly installments -

Most landlords will absolutely agree to this.  There are 12 months in a year, but 52 weeks, so if you agree to pay a fourth of the rent every week, they get 13 months worth of rent.  It's a great deal for them.  Not so awesome for you.

Putting money away in advance to pay the rent is fine, as is creating a household kitty or joint account that you both fund on a regular basis, and use to pay household expenses.  But don't agree to pay the landlord more then you have to.

At least how our landlord has it (and I know this would not be the case for all landlords), when we pay the "x" amount/week or bi-weekly, it pays it forward, so when we have paid our "x" amount we owe each month, the program he uses bumps the extra amount to the next month. So at least for us, we'll be getting ahead by a month every year. (We're very blessed to have an honest landlord. Like I said, I know not all would be this way.)

Originally Posted by crunchy_mommy 


Oh man, you have had some crappy luck!!!

Yeah, I don't know the laws about actually withholding rent, I guess I was thinking more along the lines of... if the landlord knows he's got rent money for the next 2-3 months, maybe he'd be more likely to get lax about the routine maintenance stuff? Kind of like when you pay someone in advance for a service and they do a crummy job, since they've already gotten the money & it doesn't really matter...

It's okay. Hardship builds character. Or something like that. 

I figured you didn't mean just holding out rent, so I hope I didn't come off like that. I just was wanting to make sure if that was what you meant, or to get clarity so I could understand.  (And if anyone else might be thinking that same way, about withholding rent, to let them know.) But I understand what it is you're saying, and that makes good sense, too. It would never have crossed my mind, actually, so glad you brought it up. 

[thatgirliknew]

I don't have a reason to believe he wouldn't pay rent. He's been living with me since october with no problems, but we haven't needed him to pay rent. He had surgery a few months back and we were letting him heal before he went to work. I've just lived with too many people who don't hold up their end of a deal. But so has he, and when I just talked to him about it, he is fine with us doing it that way.

[rnra]

In this situation, I would come up with some sort of written agreement/contract that you both sign and you both have copies of.  In it, I would include who is responsible for what, when the payments will be made, etc.  It probably seems like overkill now, but it would be great to have if a situation arises in the future.

[bmcneal]

Originally Posted by rnra 

In this situation, I would come up with some sort of written agreement/contract that you both sign and you both have copies of.  In it, I would include who is responsible for what, when the payments will be made, etc.  It probably seems like overkill now, but it would be great to have if a situation arises in the future.

[3timesamom]

Originally Posted by MeepyCat 

In re:  paying rent in weekly installments -

Most landlords will absolutely agree to this.  There are 12 months in a year, but 52 weeks, so if you agree to pay a fourth of the rent every week, they get 13 months worth of rent.  It's a great deal for them.  Not so awesome for you.

Putting money away in advance to pay the rent is fine, as is creating a household kitty or joint account that you both fund on a regular basis, and use to pay household expenses.  But don't agree to pay the landlord more then you have to.

I was thinking this. I remember a landlord telling me he had a tenant move out, but they were a month ahead anyway, but he wouldn't tell them that because of this method. I am not stupid so I would know this if I chose to go this route. I can't think of a circumstance that I would involve the landlord in my budgeting though.