How to calculate rent with electricity
When a room has its own meter, the tenant's bill is the base rent plus the electricity they actually used. The formula is simple:
Total = Base rent + (Units consumed × Rate per unit) + Other charges
where Units consumed = Current meter reading − Previous meter reading
For example, if the meter moved from 1,200 to 1,350 units at ₹8 per unit, the tenant used 150 units, so electricity is ₹1,200. Add that to a ₹10,000 rent and the total is ₹11,200. For a deeper walkthrough, see our worked meter-reading example for landlords.
How to use this calculator
- Enter the base rent. Add the fixed monthly rent for the room or unit, before electricity and any other charges.
- Enter the previous and current meter readings. The calculator subtracts the previous reading from the current one to find the units the tenant consumed this cycle.
- Enter your per-unit electricity rate. Use the rate from your own electricity bill (commonly ₹7–₹10 per unit). The electricity charge is units × rate.
- Add fixed charges and split if shared. Optionally add water or maintenance charges, and split the electricity between tenants sharing a meter. The total payable and amount in words update instantly.
Splitting electricity between tenants
When several tenants share one meter, calculate the total electricity charge and divide it by the number of tenants. Use the split field above to see each person's share. Where usage varies a lot between rooms, individual sub-meters are fairer than an equal split.
Frequently asked questions
How do I calculate a tenant's electricity bill from meter readings?
Subtract the previous meter reading from the current reading to get the units consumed, then multiply by your per-unit rate. For example, if the meter moved from 1,200 to 1,350 units and your rate is ₹8 per unit, the tenant used 150 units and the electricity charge is 150 × ₹8 = ₹1,200. Add this to the base rent and any fixed charges to get the total payable.
What is a fair per-unit electricity rate to charge tenants in India?
The fairest approach is to charge the same per-unit rate your electricity provider (DISCOM) bills you — commonly in the ₹7–₹10 per unit range depending on your state and slab. Many states expect landlords to charge at actual tariff and not add a markup, so check your latest bill for the exact rate and use that.
How do I split an electricity bill between multiple tenants?
If several tenants share one meter, calculate the total electricity charge from the meter readings, then divide it by the number of tenants for an equal split. This calculator has an optional 'split between tenants' field that shows each person's share. For fairness where usage differs a lot, sub-meters per room are better than an equal split.
Should I use a sub-meter or a flat electricity charge?
A sub-meter charges each tenant for exactly what they use, which is the most transparent and dispute-free option. A flat monthly electricity charge is simpler but can feel unfair when usage varies (for example, air-conditioning in summer). For most rentals, a sub-meter with a per-unit rate is recommended.
Is it legal to charge tenants more than the actual electricity rate?
In many Indian states, landlords are expected to charge tenants at the actual per-unit tariff billed by the electricity provider, without adding a profit margin. Rules vary by state, so it is safest to charge the rate shown on your own electricity bill. Treat this as general information, not legal advice.
Can RentStalk calculate rent and electricity automatically?
Yes. Instead of doing this by hand each month, you can message the RentStalk AI agent on WhatsApp with the meter readings and it calculates rent plus electricity, sends the bill to the tenant, and records the payment — in your own language.