Page 13 - Your Introduction and Guide to Renting_EMAIL_Neat
P. 13
Calendar monthly payments
Paying your rent monthly needs to be approved by For example:
the owner. Should you choose to pay by calendar
Rent = $450/week
month, it is important to understand that the term
‘calendar month’ does not refer to 4 weeks or 28 $450/7 = $64.28 (Daily rent)
days. As each month has typically 28, 30 or 31 days, $64.28 x 365 = $23,464.29 (Yearly rent)
therefore a calendar monthly amount is more than
$23,464.29/12 = $1,955.36 (Calendar monthly rent)
exactly 4 weeks rent.
To calculate this properly and evenly, we use this
simple calculation: Therefore, in this example, if the rent is $450 per
week, the calendar month rent will be $1,955.36
a) Weekly rent divided by 7 days = Daily rent per calendar month.
b) Daily rent x 365 days = Yearly rent This calculates 12 equal calendar monthly
c) Yearly rent divided by 12 months = payments, which will be due on the same date
st
Calendar monthly rent each month (e.g. the 1 of each month); instead
of the same day (e.g. every second Friday) as is
the case with fortnightly payments. Please note
that a calendar month payment is approximately
4.33 x a week’s rent.
Your Introduction and Guide to Renting 13
