Moving to Madrid is exciting and new and bold and…expensive. Granted, Madrid is cheaper than many US cities, but the cost of living is going up, up up, especially when you throw in all your travel plans, time for going out, and your desire to live in the city center. One of the best ways to make sure you have enough money to do everything you need to do without feeling like you need to work every waking moment to stay afloat (or ask Mom and Dad), is to make a budget for yourself.
The day I moved to Madrid, I started writing down everything that I spent- from the 1.50€ coffees to my huge rent check. Writing it down helped me to keep track of where each Euro was going, and 3 years later, I am still writing it all down. (FYI this does not need to be complicated- I write it in my daily agenda as 18€ groceries, 25€ dinner out, etc). As an Auxiliar de Conversación in Madrid, you will earn 1000 € per month, and it’s likely that nearly half of that (or more!) will go to rent. That leaves about half to play with, so making every Euro count is important. The best thing you can do for yourself is think about what is important to you and set some limits, boundries, and goals for yourself. Doing this will also help you figure out how much extra money you may want to earn, whether it be via private classes after school, babysitting, or teaching English online through Vipkid (message me if you want help getting hired with them).
Things You Should Include In Your Budget
Income:
- 1000 € Auxiliar salary
- ____ € extra classes salary
There are certain things you just can’t get away from in your budget, so they should be accounted for first.
- Rent: _____ €
- Utilities / wifi / house payments: _____ €
- Transport card: 20€ if you are under 26
- Phone: ____ €
- Groceries per month: _____ €
- TOTAL:
Extras:
- Gym membership: _____ €
- Meals out: _____ €
- Coffee and drinks out: _____€
- Partying (bar and club entrance, buying alcohol): _____ €
- Clothes: _____ €
- Travel: _____ €
- TOTAL:
Things to Keep in Mind
- Some months you will spend more than others, and that is ok! When you spend less, allow it to ‘roll over’ to the next month
- Be realistic with yourself in terms of what you can and cannot afford. For me, traveling was more important that going to restaurants, so I tried to meet friends for ‘snacks’ and drinks, rather than full meals.
- Make it a goal to pay your rent through ‘extra income’, which leaves you 1000€ per month to work with
- There are some very inexpensive gyms in Madrid (see a post all about it here), but don’t be afraid to use the good ol’ outdoors
My Budget from My Second Year as an Auxiliar
Income:
- 1000 € Auxiliar salary
- 380 € extra classes salary
Necessary things:
- Rent: 440 €
- Utilities / wifi / house payments: 0 € – included in rent
- Transport card: 20€
- Phone: 20 €
- Groceries per month: 100 €
- TOTAL: 580 €
Extras:
- Gym membership: 29 €
- Meals out: 60 €
- Coffee and drinks out: 30€
- Partying (bar and club entrance, buying alcohol): 30€
- Clothes: 50 €
- Travel: 200 €
- TOTAL: 399 €
As you can see, this budget left me like 20€ leftover per month, but I never ever ever went OVER the budget, and there were many months that I would be under. There were months that I didn’t travel (or pay for any travel), but then in one month, I would pay 600€ in travel and that was OK because I had saved the money.
Don’t be afraid to re-evaluate your budget if things seem off. If you need more flexibility in going out because you loooove to go out, then stop buying fancy cheeses at the grocery store and lower your grocery bill. If you want to go to a fancy gym, maybe you shouldn’t buy so many new clothes. It’s fluid and it’s made for YOU! Whatever you do, do your best to stick with it.
Good luck and happy saving!