It is very important for a parakeet to have the flowing thing:
Budgies, like all pet birds, need to have a cage that is minimally big enough for them to stretch and flap their wings without hitting the walls or any hanging toys. A good rule of thumb is, the bigger the better -- generally no smaller than 12"x18"x18". The most important thing to watch for when buying a cage is that the spacing between the bars is no wider than 1/2-inch wide. Any wider than that and a budgie could squeeze through the bars and escape, or try to squeeze through the bars and get stuck.
You must change the paper at the bottom of the cage every day, and clean the food and water containers everyday, to avoid germs, and risk of getting your bird sick. I recomend putting newspaper at the bottom of the cage, its easier to clean. The other stuff can be bad for your bird.
Also clean the entire cage once a week, you can buy special products to clean the cage, at your local petstore
Your parakeet must have fresh food and water everyday.
Make sure your parakeet has enough light during the day. And its in a place, where it can see everything that happens in the house (such as a living room), but won't get bumped all the time, by the people passing by.
Keep your bird away from drafts, both hot and cold, as well as hazardous fumes from hairsprays, room freshners, Lysol and other cleaners, paint fumes, pesticides, and other dangerous odors.
It is important for your bird to have free time outside the cage, you can set a flying time, its best during the early evening or in the morning.
You parakeet needs at least 11-12 hours of sleep, so you might want to put a cage cover over his cage so make sure he can sleep ok. They also need a nap in the afternoon, so make sure you know when this time is, so nobody will bother him.
Consider taking your new bird in for a new bird check up. You should always know where the nearest avian vet is, and have their number handy in case of an emergency. Contact an avian vet if your budgie becomes sick.