Rent Affordability Calculator
Housing is the biggest expense in most South African budgets, so getting this percentage right is the foundation of healthy finances. The widely accepted guideline is to spend no more than 30% of your gross income on housing — whether that is rent or a bond repayment.
Why 30%?
The 30% rule exists because housing is a fixed cost you cannot easily change month to month. Keeping it at or below 30% leaves enough room for the other essentials — food, transport, debt, savings — without constant financial stress.
| Gross monthly income | 30% housing budget | Comfortable rent/bond |
|---|---|---|
| R15,000 | R4,500 | R4,500 or less |
| R25,000 | R7,500 | R7,500 or less |
| R40,000 | R12,000 | R12,000 or less |
| R60,000 | R18,000 | R18,000 or less |
Work out your own numbers in seconds:
Check your rent affordability →What if your housing costs more than 30%?
In expensive cities like Cape Town, many people spend 35–40% on housing out of necessity. That is workable, but it means being stricter elsewhere — particularly on "wants" like eating out and subscriptions. The danger zone is above 40%, where housing crowds out saving entirely.
Gross vs net — which to use
The traditional rule uses gross (before-tax) income. But some advisers argue net (take-home) is more realistic since that is what actually hits your account. A safer approach: keep housing under 30% of gross AND under about 40% of net. Work out your take-home first with our salary calculator.
The bottom line
Treat 30% as your target and 40% as your absolute ceiling. The lower your housing percentage, the more financial freedom you have to build an emergency fund, pay off debt and invest for the future.