Moving from a parent’s home: 5 mistakes to avoid

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“Budgeting is fundamental to a parental home move,” says Nadine Kaufmann, prevention officer at the Aargau-Solothurn budget and debt advisory service. It’s like going to a dental hygienist: you don’t like to do it, but it’s definitely worth it in the long run. It’s best to make a plan before you move. Then you immediately know what living conditions you can meet in the future. High costs may arise with rent, insurance, health insurance, electricity, internet, radio and television fees plus regular meal expenses, which include side expenses. “Many young adults underestimate this.”

For unforeseen expenses – in case of illness, when repairing the Vespa or if you lose your mobile phone – Kaufmann always recommends depositing some money – the so-called reserve – into a separate account. He says that almost a fifth of all households in Switzerland will have difficulty paying an unexpected bill of 2,500 francs, mainly due to low and erratic income.

Kaufmann says the most common type of debt in Switzerland is tax debt. This also applies to young adults. After initial training and the first permanent job, many are faced with new wage and tax structures. Especially if they had to pay little or no tax during their education. “They’re scared when they see the tax bill.” The contrast is intensified if the tax rate at the new place of residence is higher than at the parents’ place of residence. “Taxes are included in every budget plan,” says Kaufmann. “It may also be helpful to consider the tax rate in that location when looking for an apartment.”

Parents are obliged to support their children at least until they reach the age of majority or complete their primary education. This means that parents have to support their children financially until they complete their apprenticeship or have a bachelor’s degree. “Still, it is recommended that young people take responsibility for certain living expenses as early as possible,” says Kaufmann. Those who talk about money at home, create a budget, and learn to spend their money wisely are better equipped for financial independence.

First-time movers want to prove their independence to their parents. Kaufmann recommends getting help right away if you have financial problems. With parents, friends or budget and debt advice. Because debt is often the result of a longer process. As long as the amount owed is manageable, there is a good chance of getting out of debt again.