With the click of a button you can sign up for a subscription to stream music or your favorite T.V. series. It’s easy to be roped in by offers for gym memberships, grocery delivery, and box subscriptions.
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 audit of what subscriptions you have, see how much you are spending, and evaluate which subscriptions you may be able to go without. For today’s challenge you will need the following:
Time: 10 min
Tools: Your phone and/or laptop
Step 1: Identify Current Subscriptions
Think about everything you have subscribed to. Make a list of all of these subscriptions. There are many apps currently available to aid in this process, such as TrueBill and Trim. Also be sure to include any non-virtual subscriptions, such as magazines, newspapers, meal delivery services, etc.
Step 2: Evaluate Your Current Subscriptions
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 30 days?
If you haven’t used something in the last 30 days and it isn’t making you happy, it’s time to cancel.
Is this redundant?
If you have duplicate services, pick 1 and cancel the other.
Could I share the cost with someone else?
If you could 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 actually worth it?
An expense can seem small as a monthly price, but when the yearly cost is put into perspective, is it still worth it to you? (For example, $15 a week doesn’t sound like much… but that translates to $780 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.
Step 3: Let it Go.
Once you’ve identified the subscriptions you can live without, it’s time to let them go. Take the step to cancel the subscription today, so it does not auto renew. Add up the amount from these subscriptions to see how much money you’ve saved!
*Logix has partnered with GreenPath Financial Wellness to give members access to additional financial wellness content, including this blog article. Views and opinions expressed in the financial wellness content are those of GreenPath and may not always represent the views and opinions of Logix Federal Credit Union. Logix Federal Credit Union is not affiliated with GreenPath, TrueBill or Trim and is a separate entity. Please contact Logix at (800) 328-5328 or visit www.lfcu.com if you have any questions about this topic or would like to consider opening an account.