My First Month in Berlin: Budgeting – It’s Harder Than I Thought!

Okay, deep breath. Moving to Berlin was amazing, seriously. The culture, the history, the food… it’s incredible. But let’s be honest, the initial excitement quickly faded when I realized just how much things cost. Before I came, I thought “expat” meant “free money.” Turns out, it just means you need a really good spreadsheet. And a whole lot of learning. My biggest hurdle so far? Understanding my Einkommen (income) and Ausgaben (expenses), and figuring out the percentages.

Talking Money: Initial Conversations

The first few weeks were a whirlwind of awkward attempts to talk about money. I went to a Supermarkt (supermarket) to buy groceries, and the cashier, a really friendly woman named Sarah, asked, “Möchten Sie das bar oder mit Karte zahlen?” (Would you like to pay cash or by card?). I panicked and just mumbled, “Bar, bitte” (Cash, please), feeling incredibly foolish. Later, I learned that most Germans prefer paying by card, especially for smaller purchases.

Then, at a Kaffeehaus (coffee house), I ordered a Latte and the bill came to €4.50. I pulled out a €10 note and said, “Hier, bitte” (Here you go, please). The barista, a young guy with a handlebar mustache, looked at me strangely and said, “Das ist zu viel. Das sind nur 4,50 €” (That’s too much. That’s only 4.50 €). Seriously?! It took me a moment to realize I’d overpaid! I had to quickly learn to ask, “Kann ich das Wechselgeld zurückbekommen?” (Can I get the change back?)

Numbers, Numbers, Numbers – Understanding Einkommen

My Einkommen comes from a freelance job as a translator. My monthly net salary (after taxes and social security) is €2,200. It sounds good on paper, right? Wrong. Berlin is expensive! I need to track jeden Cent (every cent).

Let’s break down my income:

• Net Income: €2,200
• Variable Income (Translations): This fluctuates, sometimes a little higher, sometimes a little lower, depending on the projects I take on. I try to budget around €1,800 as a conservative estimate.

Expenses – Where Does My Money Go?

Okay, this is where it gets really stressful. My biggest expenses are:

• Miete (Rent): €850 (This is the teuerste – most expensive thing!) – a small studio apartment in Prenzlauer Berg.
• Nebenkosten (Utilities): Roughly €150 – including heating, water, and garbage collection.
• Essen (Food): €300 – This is my biggest struggle. I’m trying to cook more, but the grocery prices… ugh.
• Transport (Public Transport): €80 – The monthly ticket is a lifesaver.
• Versicherungen (Insurance): Around €100 – health insurance is mandatory!
• Sonstiges (Miscellaneous): €120 – This covers everything else – internet, phone, occasional coffees, small purchases…

Percentages – Let’s Get Realistic

I used a handy online budget calculator (thanks, Google!) to see where my money was going. It showed that rent takes up about 38% of my income, which is a massive amount. Food accounts for about 13%, transport for 6%, and miscellaneous for a surprising 14%. This helped me realize I needed to cut back on some things, like my daily coffees.

I also started calculating percentages to understand how much of my income I was spending on specific categories. For example, I realised I was spending roughly 20% of my income on eating out – definitely a habit I needed to break! I learned the German phrase “Ich muss sparen!” (I need to save!) and started actually doing it.

A Small Mistake & A Big Lesson

Last week, I got caught up in a Weihnachtsmärkt (Christmas market) and spent €30 on a ridiculously overpriced sausage and Glühwein (mulled wine). It felt great at the time, but when I checked my bank account, it felt awful. It highlighted how easily I could get swayed by the atmosphere and impulse spending. I immediately made a note to myself: Denken Sie nach, bevor Sie kaufen! (Think before you buy!).

Moving Forward – Keeping Track

I’m now using a budgeting app (FinanToday – highly recommend!) to track my Einkommen and Ausgaben every day. I’m also trying to create a simple monthly budget to see if I’m on track. It’s still a learning curve, but I’m getting there. And hey, at least I’m learning German along the way! Viel Glück! (Good luck!) Now, if you’ll excuse me, I’m off to the Edeka to buy some cheaper vegetables!