How do i make a nest for my parakeets(budgie)?

Budgies do not make a nest they need a box about 6" square with a 1 and 1/4 inch hole in it on one side. Perhaps a dish or as the breeders call it " concave" for the egs to sit in is all they need.
In the wild they nest in holes in trees or rock faces. Mine do not use any nest material except their own moulted feathers.
There are these great pre-made nests that you can buy at the petshop and they are very cheap. They save you a lot of hassle of building your own nest because it has to be completely enclosed with a small hole at the top. But its difficult to make them the right size for your bird to have room to move around in.
parakeets do not make nests. They will reproduce in a six inch by six inch cube, but it has to have a concave "hollow' in the bottom so that the eggs can roll to the center of the nest where the birds will sit the eggs and keep them warm. Once the eggs hatch and the babies are one day old, take some very thinly cut up white paper towels and gently sprinkle them in the nest box so that when the babies poop it is absorbed and kept away from their bodies and feet. The poops literally burn the tender skin which leads to infection and death. As the paper towels are trampled down, add more over the course of a day so that the entire bottom of the nest is lined with absorbent towels. making VERY sure that you have not accidentally covered up a baby or its head. The nest box should have a lid with a hinge and some kind of means to hold the lid down, I used a half inch long wood screw on the top of the lid and another screw underneath the lid on the box and used a piece of wire around both screws so that i could open the lid when i needed and keep it closed when the cat was around.

Of course, you are going to have to find a way to securely attach the box to the cage, and then cut the bars to the cage so that they can get in and out of the box to feed and care for the babies.

It is likely that you will be bitten pretty seriously if you do what i said to do, but if they lay eggs and the eggs hatch in about 18 to 21 days depending on the temperature and when she laid the first egg. if there are any other questions email me and i'll share with you what i learned from breeding them.
I would just use a regular cage and put some straw in it. That's what birds use in the wild.
go to the pet shop, they should have nest boxes or get a parakeet book with instructions on how to build
Use no smaller than 3 plywood, make a simply box of about 20cm long 15 high and 15 wide, you can make it bigger if you wish the bigger means more room for babys later. A hole of about 3 inches wide on one side with a small perch just under it for the parents to stand on. You can have the top part of the back lift up to view the eggs and baby or a hinged door on the top of the box. A slight concave in the base to stop eggs getting rolled around and adled ( scrambled so nothing hatches) If you make it to match the cage you have in mind of using, one of the small doors for food or water dish can be hooked open to give acess to the box, better than cutting up wire and ruining a cage in my mind.

Also it is better to use wood shavings in a nest box rather than paper towels, it's more natural and gives the hen something to 'clean' to start a nesting activies. Poop doesn't 'burn' chicks feet but can cuase damage to feet when left in large amounts to dry. It's very easy to handle the chicks even around a protective mother, and should be done after the first week to get the chicks use to humans and hands.

Head over the the webside in my sources for more info.

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