How to Split Utilities with Roommates (Every Method Explained)

The utilities you need to split

Before deciding how to split, make a list of every recurring bill the household shares. Most rentals involve some combination of the following:

• Electricity
• Water and sewer
• Gas or heating oil
• Internet
• Trash and recycling collection
• Renter's insurance (if you share a policy)

Some of these are fixed costs that stay roughly the same every month (internet, trash). Others fluctuate based on usage (electricity, water, gas). That distinction matters when choosing a splitting method.

Method 1: Split everything evenly

The simplest approach is to add up all utility bills and divide by the number of roommates. If three people share a house and monthly utilities total $360, each person pays $120. No calculations, no debates, no spreadsheets.

This works well when everyone uses the house in roughly the same way. But it starts to feel unfair when usage patterns differ significantly. The person working from home five days a week runs lights, a computer, and the air conditioning all day. The roommate who leaves at 7 a.m. and returns at 7 p.m. barely touches the thermostat. Asking both to pay the same amount ignores a real difference in consumption.

That said, many roommates choose even splitting anyway because the simplicity outweighs the imperfection. If the difference is a few dollars a month, the convenience of not tracking individual usage is worth it.

Method 2: Split by room occupancy

If a couple shares one bedroom, they use more water (two showers instead of one), more electricity (two devices charging, two people cooking), and more of every shared resource. It makes sense for a couple to pay more than a single occupant.

A common arrangement is to charge per person rather than per room. In a three bedroom house with four people (one couple and two singles), the couple pays 2/4 of utilities and each single person pays 1/4. Some groups use a 1.5x multiplier for couples instead, which acknowledges that two people sharing a room do not consume exactly twice the resources of one person.

The right multiplier depends on what feels fair to everyone involved. Discuss it openly before the lease starts, and put the agreement in writing.

Method 3: Fixed vs variable split

This method separates bills into two categories and handles each differently:

• Fixed utilities (internet, trash, renter's insurance) stay the same regardless of how much anyone uses them. Split these evenly. Everyone benefits from Wi-Fi whether they stream four hours a day or just check email.
• Variable utilities (electricity, water, gas) fluctuate based on behavior. Split these based on usage patterns. If one roommate runs a space heater all winter while the others wear sweaters, the electricity bill reflects that.

Tracking individual usage precisely is difficult without submeters, so most groups estimate. A reasonable approach is to agree on a baseline even split for variable costs, then adjust if one person's habits clearly drive the bill up.

How to handle the billing

Someone has to put their name on each utility account. There are two common setups:

• One person handles all bills. A single roommate puts every utility in their name, pays each bill when it arrives, and collects from the others. This is clean and centralized, but it puts all the financial responsibility (and credit risk) on one person. If a roommate does not pay their share, the account holder is on the hook.
• Rotate who holds which bill. One person takes electricity, another takes internet, a third handles water. Each person pays their own bill directly and collects from the group. This distributes the risk but requires more coordination.

Either way, the account holder should share the bill amount with the group as soon as it arrives. Transparency prevents disputes.

What about air conditioning and heating disputes?

This is the eternal roommate conflict. One person runs the air conditioning at 68°F all summer. Another thinks 76°F is perfectly comfortable. The electricity bill swings by $100 or more depending on who wins the thermostat war.

Practical solutions that actually work:

• Agree on a thermostat range. Set a household rule: the AC stays between 72°F and 76°F in summer, and heat stays between 66°F and 70°F in winter. Everyone compromises a little.
• Personal climate control. The cold natured roommate buys a space heater for their room. The hot natured roommate gets a fan. Personal comfort devices let individuals adjust without affecting the whole house bill.
• Proportional AC splitting. If one bedroom has a window unit that only serves that room, the person using it pays for the extra electricity. You can estimate the cost by checking the unit's wattage and multiplying by hours of use.
• Seasonal adjustments. Some roommates agree to split the summer electric bill differently than the winter bill, reflecting who benefits most from the AC or heat.

The key is to discuss preferences before moving in together. Thermostat habits are one of those small things that can become a major source of tension if left unaddressed.

Tracking utilities month to month

Utility bills change every month. The electricity bill in July will look nothing like the one in January. You need a system that handles recurring expenses with variable amounts.

In Nudj, you can set up a recurring expense for each utility. When the bill arrives, update the amount for that month and the app recalculates each person's share automatically. At the end of the month, everyone can see what they owe, and you can settle up with a single payment instead of chasing down four separate transfers.

If you prefer to let balances roll from month to month, that works too. The running total keeps a clear record, so when someone finally sends a payment, it is applied to the correct balance. No guesswork, no "I thought I already paid for March."

The less time you spend thinking about utility bills, the more time you have to actually enjoy living with your roommates.