Prorated Rent Calculator

How to Calculate Prorated Rent

Prorated rent is the partial month's rent charged when a tenant moves in (or out) on a day other than the first of the month. It ensures tenants only pay for the days they actually occupy the unit.

The Formula

Prorated Rent = (Monthly Rent / Days in Month) × Days Occupied

For example, if rent is $1,500/month and the tenant moves in on the 15th of a 30-day month: $1,500 / 30 = $50/day × 16 days = $800 prorated rent.

Three Common Methods

1. Actual Days Method: Divide by the actual number of days in the specific month (28, 29, 30, or 31). This is the most precise and legally preferred method in most states.

2. Banker's Method (30-Day): Always divide by 30 regardless of the month. Simpler but slightly less accurate. Some landlords prefer this for consistency.

3. 365-Day Method: Divide annual rent by 365 to get the daily rate. This produces the most consistent results across months of different lengths.

When Do You Collect Prorated Rent?

Most landlords collect the prorated amount at move-in along with the security deposit and first full month's rent. Some collect it separately. Check your state law — several states have specific rules about what you can collect at move-in.

Pro tip: always specify the proration method in your lease agreement to avoid disputes.