Back in 1999, Destiny’s Child sang “Bills, Bills, Bills”, and not much has changed since. Bills are still a headache, and with increasing costs of living, they are only becoming more distracting.
Foisting and pushing against a plethora of streaming options, not to forget grocery items, monthly expenses tend to go out of control. So, it’s important to have a keen eye over your finances and find smart-cut methods to trim expenses anywhere possible. Maybe the tiniest of changes could amount to something big.
Here are four very easy and practical ways to whittle away at your monthly bills:
Keep Track of Recurring Bills and Subscriptions
Here’s the truth: recurring subscriptions have a knack for quietly piling up. That $10 here and $15 there can easily go into $100 or beyond every month if you’re not careful.
What to do:
- Create a simple spreadsheet or use a budgeting app that lists all your monthly expenses. And especially note those subscriptions, like streaming services, gym memberships, cloud storage, etc.
- Take this list for a review every couple of months. More often than not, you’ll find at least a couple of services you’ve barely used, if at all (or maybe you have just plain forgotten you had them in the first place).
Pro Tip:
Cancelling a streaming service isn’t meant to be forever. In case there ever comes a time when there is something big that you want to watch, you could always get the subscription back. Don’t let FOMO make you spend money for things you are not even utilizing.
Once every Year, Audit Your Utility and Insurance Bills
Needs change over time, and an arrangement that worked for you a year ago might not be the best fit today. Hence, it is an excellent idea to execute an audit on your utility and insurance bills.
What-to-do:
- Do some rate comparison from other providers-you might get surprised at how much you can save by merely switching plans.
- If you have been using older appliances or devices, it might be time for an upgrade to energy-efficient or smart ones. They might cost a bit upfront, but they save a lot in electricity or water bills in the long run.
- Calls insurance providers, possibly yields discounts. For instance, many companies will pay lower premiums on car insurance from safe driving or low-mileage.
Pro Tip:
If you want better rates for almost anything, go ahead and ask for them. Even if you have been a loyal customer, they usually keep special deals that they will only share with you when you bring it up.
Set Monthly Limits on Your Non-Essential Spending
When we view our spending for takeout, Internet shopping, or spontaneous purchases, we do not really keep a tally.
Steps to take:
- Set a monthly spending limit for non-essential expenses like entertainment, going out with friends, or hobbies.
- Make it a point to review expenses weekly to ensure they fit within your budget.
- One way to curb online spending is to institute a “24-hour rule,” requiring one day’s delay before actually making that purchase.
Pro Tip:
Try a “no-spend” weekend, following that for one month, once a month. You should have a smile while saving money and thinking of ways to recycle what you’ve already got.
Automate and Optimize Your Savings
Your saving experience should not be hard, and on the bright side, it need not be so.
What you ought to do:
- Have automatic transfers moved into your savings account upon payday. Even something like $20 a week can add up.
- Seek out any cashback or rewards programs that may be available for your credit or debit cards.
- Utilize round-up apps to tie purchases to savings, where they save the spare change.
Pro Tip:
Consider your savings as a bill—a bill that will pay you. Give it black-and-white priority along with your rent and utilities.
Some Final Words
Cutting costs on monthly bills isn’t about cutting back on yourself. Rather, it is about making smart decisions and being fully aware of where every dime is going. What seem like small changes today can make way for a very comfortable and stress-free tomorrow.
Go ahead now—check your expenses, throw out the unnecessary, switch your providers, and go forth into building better habits. Your future self will thank you!