The Bills with a capital B — they come every month. You dread watching them drain your account dry. And you wish there was a way to hang onto your hard-earned cash. Fortunately, these six methods can help you slash your monthly expenses dramatically and, in many cases, quickly.
Budget Your Bills
If you aren’t budgeting, basically no other methods will work — you have to start with a good structure if you’re going to cut your monthly expenses. Create a budget with different sections for each expense so it’s clear how much is going to each category. For example, you want to see clearly that you spend $80 a month on your phone bill vs. $100 a month on subscriptions (we’ll get there).
Audit Your Monthly Spending
With a good budget in hand, it’s time to start making some cuts. How much did you (accidentally) spend on subscription services you don’t really need? Go to those websites or make a few phone calls and end your services. Yes, cutting your monthly bills doesn’t seem like a novel concept. But too many people assume there are shortcuts when oftentimes the best answer is also the most obvious.
Negotiate What’s Left
Some expenses aren’t going anywhere, like your heating or electrical bills. But that doesn’t mean you can’t do anything about them. In fact, many consumers don’t realize just how much power they have over these numbers. Companies want you as a customer. Call them and see if they’re willing to work with you; you’ll find that many companies (especially internet and cable companies) will bend over backwards to at least check.
Shop Around for Alternatives
You tried calling your companies, and they aren’t budging on your new budget. Fine, then it’s time to put your money where your mouth is — find companies that better align with your newfound financial freedom. That means companies that offer more affordable rates, either in the short or long-term. This is again beneficial with internet and phone companies, but it’s equally useful for those looking to get a better rate on their insurance, too.
Cut Back on Use
Unplug your computer when you finish using it. Turn down the thermostat when you leave for work. Switch the lights off whenever you leave the room. Sure, these sound like small adjustments that don’t save much on their own. But when you consider just how much you use your electronics or HVAC throughout the year, it’ll hopefully inspire you to throw on a sweater the next time you get cold.
Get Creative
Did you know that reversing the direction of your ceiling fans in the winter can help you save on energy costs? The blades push the rising heat back down where it belongs — in your home, keeping you warm! And yes, some of these creative methods will cost a bit to get going, like installing new insulation or a smart thermostat. But they often pay for themselves over time, so they’re worth looking into.
