How to Split Bills and Shared Costs Fairly
Updated · 4 min read
Money arguments between friends and family are rarely about the money. They come from unclear rules. Agree on the method first.
Three common methods
- Equal split. Everyone pays the same. Best when everyone uses the service about equally, like a dinner of similar dishes.
- By use. Each person pays for what they used. Good for restaurants with big differences, or for electricity when each room has a meter.
- By share of income or room. The person with the bigger room or income pays a bigger share. Common among roommates.
Tips and tax
Split the service charge, tax and tip in proportion to each person's order, not equally. The bill splitter does this for you.
Monthly household bills
- Write down the bills and who pays each.
- Record the amount every month in the bill tracker.
- Settle on a fixed day, and use one person or one account to collect.
Trips
Estimate the whole cost first with the trip cost planner, collect an advance, and keep receipts together.
If someone cannot pay
Talk early and privately. A short delay agreed in advance is easier than a surprise later.