With the click of a button you can subscribe to pretty much anything. You can stream music or get your favorite shows and movies. It’s easy to get enticed by offers for live streaming, gym memberships, grocery delivery and so much more.
These relatively small recurring costs can add up quickly. Many times, we’re unaware of exactly how much we end up spending on these subscription services In fact, according to a Waterstone Management Group survey, 84% of us are underestimating our monthly tech spending.
Today is the day to take an inventory of what subscriptions you have, see how much you are spending, and evaluate which subscriptions you may be able to live without.
Make a list of all your subscriptions
There are many apps that can help you with this, such as TrueBill and Trim. Also be sure to include any non-virtual subscriptions, such as magazines, newspapers and meal delivery services. To decide which subscriptions are most important to you and which you could go without, ask yourself the following questions:
Have I used this in the last month?
If you haven’t used something in the last 30 days and you don’t have a real purpose for it, it’s time to cancel. Common culprits are gym memberships and magazine subscriptions.
Do I have services that are similar?
Do you have Netflix and Hulu? What about BarkBox and Bullymake? Did you sign up for Hello Fresh and Blue Apron? Maybe you subscribe to multiple parenting magazines? If you have duplicate services, pick one and cancel the other. Or if you don't use either of them, cancel them both!
Could I share the cost with someone else?
If you can share the cost with someone else, do it! Many apps offer family plans that can add up to additional savings when shared.
Is this expense worth it?
An expense can seem small as a monthly price, but when the yearly cost is put into perspective, is the service still worth it to you? (For example, $20 a week doesn’t sound like much…but that translates to $1,040 a year!) Add up your total subscription cost over the course of a year to see if it still makes sense for you and your financial situation.
Let It Go
Once you’ve identified the subscriptions you can live without, it’s time to let them go. Take some steps to cancel unneeded subscriptions today so they do not auto renew. Add up the amounts from these subscriptions to see how much money you’ve saved.
Make More Good Money Moves With First Alliance Credit Union
Getting rid of unneeded subscriptions can help you save a lot of money. You can use that money to fund a savings account, reassign it to another area of your budget, or use it to save up for a financial goal, like a vacation or a car.
If you want to figure out how to get the best use out of the money you’ve saved, schedule a meeting with one of our money navigators today to see how you can take your finances to the next level.