Budgeting & Debt
Total monthly cost
The sum of the regular monthly bills.
The Formula
Total = Housing + Food + Transport + Utilities + Other
The sum of the regular monthly bills.
| Symbol | Meaning | Unit | Notes |
|---|---|---|---|
| H | Housing | currency | Rent or mortgage. |
| F | Food | currency | Groceries and regular food spend. |
| Tr | Transport | currency | Fuel, transit or car costs. |
| U | Utilities | currency | Power, water, internet and phone. |
| O | Other | currency | Insurance, childcare and other regular costs. |
What Each Symbol Means
Hcurrency
Housing
Rent or mortgage.
Fcurrency
Food
Groceries and regular food spend.
Trcurrency
Transport
Fuel, transit or car costs.
Ucurrency
Utilities
Power, water, internet and phone.
Ocurrency
Other
Insurance, childcare and other regular costs.
See It Worked With Real Numbers
A formula on its own does not tell you which number goes where. The how to calculate cost of living page applies this equation to a concrete case, shows every intermediate step, and names the mistakes that produce a wrong answer even when the algebra is right.
Where This Formula Appears
This equation is the working core of How To Calculate Cost Of Living, filed under Finance. Every number the guide produces comes from substituting into this one line.