My wife and I currently live on the northeast side of Indianapolis and work near downtown Indianapolis. We have been discussing whether we would like to move, and if so, where. For the past year or so, these talks really haven't had much energy. We'd decide to look into moving, and then not really do anything about it. Currently we're in a month-to-month rental with some nice landlords. However, it's pretty far from where we work.
Last weekend I decided to quantify the costs of commuting. I figured this would give us something to work with and if it was surprising, would motivate us to take action. In typical fashion, I made a spreadsheet.
The spreadsheet shows what we are currently paying per month in total housing costs (rent, utilities) and commuting expenses. By extension, it also shows what we should be rationally willing to spend per month in total housing costs (based on our current costs of housing and work transportation.) For example, if every month of commuting costs us $300 and we are spending $1000 in rent each month, spending $1300 on a place with zero commute would be theoretically equivalent.
Here is the commuting breakdown spreadsheet that I came up with.
What surprised me
Overall, I was surprised by the amount that we should be willing to pay. I expected it to be high, but not 50% more than we are currently paying. Part of the surprise was probably due to the fact that two people's commutes would be lowered.
After doing this analysis, I would definitely question any commute to see how it could be reduced. All things being equal, we would prefer to pay less than more, but this figure gives a nice bounds considering we think our current rent is acceptable.