3 Major Ways To Budget For Your Kitchen Remodel

On February 13, 2020 by Preeti Shah

Kitchen Remodel Budget

Whether you are planning a quick improvement to your kitchen or want to strip things down to the foundation and build something completely new, it is highly relevant to set a budget for your job.

So how can you make the budget that works for you? Here are three essential kitchen renovation tips that will help you.

  1. Decide How Much You Want To Spend And Stick To It

Setting a budget for your kitchen to remodel and sticking too, it sounds so obvious, but it’s a lot harder than you think.

The average cost of a complete upscale kitchen remodel can top out at more than $80,000! However, there are three significant factors to consider that you should make to decide whether you want to spend that much.

  • The first is how much you can afford to spend. Take a look at your finances and determine that basic number.
  • The second is how long you plan to stay in your current home. If you are planning on selling the house anytime soon, then your kitchen remodels should be viewed as a way to improve the value of your home on the market. If you plan on staying in your home for a long time, you should make decisions regarding your remodel that will make the room most comfortable for you and your family.
  • The third and final factor is your neighborhood that you live in? Is it modest or upscale? If you put a super fancy kitchen in an otherwise not-so-fancy home or neighborhood, you are not going to reap the financial benefits when you do end up selling your home.
  1. Know-How Costs Break Down

So that $80,000 limit is a smart number to keep in mind, it is also wise to know where the money goes. Overall, 20 to 35 percent of your project costs. Beyond that, certain additions or changes can take up a significant chuck of the remodel.

Here are how prices tend to break down, on average:

  • The cost of kitchen cabinets styles make up 35 percent of the remodel
  • The cost of labor takes up 20 percent of the remodel
  • The cost of appliances accounts for 20 percent of the remodel
  • The cost of windows make up 10 percent
  • The cost of fixtures take up 5 percent
  • The cost of fittings and other miscellaneous expenses that up the remaining 10 percent
  1. Set Aside 20 Percent Of Your Budget For The Unexpected

This is a mistake a lot of people make, and it can end up creating major financial problems. You want to put aside about 20 percent of the total cost of your remodel or rebuild for unforeseen circumstances that may arise during the process.

This ensures that if any delays take place, or you need to make last-second changes or additions, that you will have the money necessary without having to break the bank.

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