<prompt> Human: Ive heard different things. Most common seems to be that your rent should not exceed 33 of your income? Is that true? Is that gross income or net?Im going to be moving out of my parents place by myself for the first time and will be making about 88k gross annually. Im wondering how much I should be looking to pay in rent while still being able to save and do fun things I would prefer to get a relatively nice place and not be crammed in a crappy studio apartment  <response>: This totally depends on where you live. The 30 gross income ratio was established in the 1970s, and it doesnt necessarily apply nowadays in many places where cost of living is higher. For example, the average median individual income in the US in 2016 was 31,099. By the 30 rule, that person shouldnt spend more than 777 in rent. However, in my city, the average 1BR apartment is 1240, so its common for people to spend 50 of their income on rent. I think ideally you shouldnt spend more than 30 on rent. Better if you can get away with just 20-25, if youre really low income. But depending on the area, thats not always realistic. 