CLC 11 – Finance

The Roommate Agreement Project

Overview:
You and your friend have decided to become roommates. Both of you have some similar and different
personalities and ways to make the place cool. In order for both of you to survive together, you need to
establish a few things.

Directions:
Given the worksheets below, you will look for an affordable apartment and fill in the required information
in the different sections. You and your partner will hand in ONE Roommate Agreement. Please ensure
both of your names are on the FRONT of this “legally” binding contract.

PLEASE NOTE: YOU MUST FOLLOW EACH DIRECTION CAREFULLY!

Marks breakdown:

Part 1: ____ / 15
Part 2: ____ / 10

Total Marks: ____ / 25

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Part the First: The Contract
15 Marks

1) Find a Job from the classifieds and estimate ach of your monthly incomes. Assume you will be
working 40 hours per week. If you currently have a job, you may use it for the purpose of this activity.

Roommate 1: Rida__________________________________________

Occupation: Sales Associate ___________________________________

Monthly Income: $2,216__________________________________________

Roommate 2: Simrein __________________________________________

Occupation: Hostess__________________________________________

Monthly Income: $2,216__________________________________________

Roommate 3: Laraeb _________________________________________

Occupation: Doctor__________________________________

Monthly Income: $2,083________________________________________

Total Income for 3 Roommates (Roommate 1 + Roommate 2): $6515 _____________________

Minus 30% for Taxes (Total Income X 0.30): $ _1,954_____________________

Net Income (Total – Taxes): $ 4561____________________

2. Find a Place to Rent using Craigslist Vancouver. Give the description and attach one picture of
the living room. Please label this assignment: The Pad Fill in the blanks:

Monthly Rent: $ 2700___________________

Upper floor of a newer 3 bedroom 2 bath home for rent in South Surrey.

Approximately 1600 sq ft home about 5 years old, great room plan with Kitchen, Living/Dining area, and
3 bedrooms plus 2 baths on top floor.

Ground floor entry with nice laundry area and a full 20x20 double garage. Very clean home.

Rent $2400 plus 50% utilities

NO Smoking
NO Pets

Employment reference and landlord references are a MUST!

Please respond with some basic info about yourself, such as:

- number of occupants
- occupations
- length of tenancy desired
- current residency ...own, rent, etc and for how long

- 5 mins to USA border

- close to Grandview Aquatic Centre
- near all major shopping: Superstore, Walmart, Morgan Crossing Shopping Centre

What does this place feature? (Bathroom(s), Dining Room, Bedroom(s). etc.)

This apartment has three bedrooms

1 dinning room
Double garage
2 bathroom
Laundry room

3. Utilities cost money as well, so if it is not included with your rent, estimate 10% of the rent money
to pay for utilities. If there are utilities included with your rent, make sure that is mentioned. List the
utilities below:

 Heat with rent

 Hot water, Water with rent ________________________________
 Electricity __________________________________
 Internet__________________________________
 BC Insurance __________________________________
 Cable
 Trash collection__________________________________
 Underground parking__________________________________
 Gas $300
 Rent__________________________________

4. You need at least one phone; it can be a land line or a cell phone. Look up different plans from
the various BC Telephone/Cellphone Providers. Fill in the blanks:

Land line Cost: $ ______________________

Cellphone Cost: Roommate 1 $ 25______________________

Roommate 2 $ 25______________________
Roommate 3 $ 25______________________

5. Each of you has your own bedroom furniture, but you need to furnish the kitchen and common
room. Make a list of furniture you will buy or borrow from your parents. Please attach a separate list
with the total to the back of this assignment labelled: Kitchen and Common Room List

 Utensils
 Kitchen Table
 Chairs
  Small couch
 TV
 Coffee Table
 Couch Pillows
 Soft Rugs
 Blender
 Pots and Pans
 Plates and Glasses
 3 beds
 Dressing
 3 drawers
 3 lamps
 Mirror
 4 clocks
 6 storage bins

6. How are you going to travel from place to place? Discuss this with your roommate. If one of you
already owns a car, then factor in the monthly costs; if neither of you own a car, find out how much a
monthly bus pass is.

Transportation Costs: $ ______________________________

Car Costs: (if applicable) $ 250 Insurance, $300 Gas_____________________________

7. Using the TD Monthly Budget Template, you will create a monthly budget. In order for you to
survive the Roommate Agreement, you must use the total income from question one to determine your
budget. You will also need to factor in other costs from the previous questions. This must be printed off
and attached to this assignment labelled: TD Monthly Budget. However, you will also need to consider
the other following items:

 Grocery Costs - $300

 Eating/Dining Out Costs - $200
 Clothes - $200
 Entertainment - $80
 Personal Supplies - $250
 Other costs - $50

Please note, your budget must balance and you cannot go over your budget. You will also need to be
realistic.
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The Second Act: Clauses and Articles
10 Marks

Objective: Given the questions below, you will answer them in full sentences.
1) Article A:
Which section did you and your roommate both have the most disagreement about and why?

My roommates and I had the most disagreement on the eating out and dining costs and the
entertainment costs because we have a low budget and one of us would rather not eat out or go out at
all. But I thought that I’d rather spend money on these things to have fun and thought it was more
realistic.

Article B:
Which section did you and your roommate have the least disagreement about and why?

My roommates and I had the least disagreement on which cell phone plan and cost we would
have. We agreed to go with the cheapest data plan and was a shared plan. We split the cost in thirds
and were satisfied with the low cost and the amount of data did not matter to us.

2) What cost amount shocked the both of you the most when completing this activity? Write your answer
below:

The cost amount that shocked us the most was the most was the monthly car insurance and gas
expense that accumulates to $550 together.

3) The Fairness Clause:

To ensure that there is “fairness” in your Roommate Agreement, you need to create 10 Rules and
1 Clause. A clause in contract law is a written contract that declares that contract to be the
complete and the final agreement between the parties. If you are having trouble creating a cause,
refer to examples from the T.V. Show “Big Bang Theory.” Please attach these rules to the back of
this assignment labelled: The 10 Rules and 1 Clause
1. Don’t go over the budget.
2. Complete all chores and take turns cleaning certain areas.
3. Be quiet when necessary.
4. Parties must be planned before hand and not thrown unexpectedly.
5. Guests can’t stay overnight for more than two nights.
6. Respect each others belongings and space.
7. When leaving give at least 2 weeks of notice before leaving.
8. Clean up your own mess.
9. Must stick to the budget and split expenses on household items.
10. Pay your portion of the rent on time.

Clause: Each roommate must abide to these rules equally and is a final contract, there is no
exception.

4) How has your idea of moving out changes after completing this activity? Two Statements are
required and needs to be attached to this assignment labelled: (Your Name) Statement
Moving out is very expensive and requires a lot of planning. (Simrien)
There must be rules everyone follows so there is equality and order. (Rida)
 When having roommates everyone must find an agreement and communicate. (Laraeb)

Roommate Agreement Checklist:

 The Roommate Agreement Project

 The Pad
 Kitchen and Common Room List
 TD Monthly Budget
 The 10 Rules and 1 Clause
 (Your Name) Statement

INCOME BUDGET REMAINING NOTES

Monthly Total Income $4561

FIXED EXPENSES

Rent $2700 $1861

Utilities Not From Rent $250 $1861

Car Insurance $250 $1361

Cell Phone $75 $1286

VARIABLE
EXPENSES
Grocery Costs $85 $1201

Eating/ Dining Costs $200 $1001

Clothes $200 $801

Entertainment $80 $721

Gas $300 $421

Personal Supplies $250 $171

Other $50 $121

Final $121
Remaining/Savings