There are 3 EASY habits that you can switch this year that will save you about $1,500 in total over the course of the year. These are habits that most American households engage in as a normal way of American life. But they are costing Americans multi-billions in total. We’ve shared these ideas in many different posts before and so this post isn’t going to give savings to the already super frugal…we have lots of tips for you.
We’ve shared these ideas in many different posts before and so this post isn’t going to give savings to the already super frugal…trust us though, we still have lots of tips for you.
These tips are for those just starting their journey to save money and find some quick and actionable steps to save big and save big FAST!
1. Cut that cable
Have you considered cutting the cable? It costs the average American household about $99 a month, but most are probably about $65 a month. Nearly every household only uses a small fraction of the channels out of the hundreds offered. That means that it really is just a waste! If you switch to alternatives like a Roku or some similar streaming device, along with the free and even paid channels like Hulu at $7.99 a month to get all of your television shows, you would be saving a bundle. Consider a streaming device instead and cut the cable and save an average of $600 a year.
2. Stop grabbing those Starbucks! Seriously!
Do you know how much that coffee addiction is costing you? Trust us, we are not asking you to stop getting your coffee fix – we couldn’t. But instead switch to making it at home (either via the traditional drip coffee or making your own espresso drinks).
Here’s an example of how much you could save calculating the cheapest, just a plain ol’ cup of joe at home; the savings are greater the fancier the coffee. We are even going to show the math on fancier coffee brands that average $8 a bag (most are a lot cheaper – especially as you get smarter and shop the sales for those same bags of coffee):
As most bags are around 1 lb, if we fill our 12-cup coffee maker to capacity, we can do this 6 times. 6×12 = 72 cups of coffee for $8 or .11 per cup a cup of coffee is considered 8 oz. When buying coffee out, we all typically buy a 16 oz or 24 oz = $0.22 – $0.33 at home. Getting these coffees out will be $1-$3 (and that’s on the cheap side). Making them at home will literally save you 90%! The same calculations turn out with similar results for the specialty coffees like lattes, etc. resulting in 90% savings.
To answer everyone’s first objection: you really don’t need to fill your 12-cup coffee maker to capacity. Just make what you are going to use and that bag of coffee will stretch more and you’ll still see that 90% savings.
On average, making this switch saves each person in the household around $500 a year!
3. Rethink your cellular needs
Thirdly, the average American cell phone bill is $71 a month for a single line. This also does NOT factor in the actual device.
If you consider switching to a no-contract, pay-as-you-go service, you will save more than half! In fact, a reasonable plan through one of these types of companies will provide you with unlimited talk and text and 2.5 GB of data for $35 per month – no additional hidden fees, just a straight-across $35. We don’t even use 2.5GB of data per month, but if you needed more (like if you watch videos from your device) you can add 1.5 GB of data as needed for only $10. And it all gets cheaper the more lines you add. And if you are worried about the service reliability, there is no need to worry as many of these are part of the same network as the big guys with a result of service that is just as reliable.
So how much can you save on a single line? About $500 per year when you factor in the savings also included by skipping the extra fees and the expensive cost of the device. The devices are a very affordable one-time purchase through these pay-as-you-go companies.
We will be publishing a post very soon that compares the prices, features, services, and benefits of each of these pay-as-you-go, no-contract companies to help you narrow down your options easier, but knowing that you can probably save about $500 extra this year with this simple switch is helpful!
Well, there you have it! 3 slick ways to save $1,500 a year and still get all of the benefits you want and love in today’s modern conveniences. They are easy and fast switches to make and easy enough that there is no reason to not do it! This is a savings of $125 a month! The savings are even greater for more than one member of your household.
What would you do with an extra $125 per month? Consider saving, investing or even paying down your debt. Don’t make the switch just to turn around and spend elsewhere. Be Intentional and tell that money where to go! 🙂