Recurring monthly charges can add up to thousands of dollars a year. To save money, review these charges, and see which services can be eliminated or swapped for less-expensive options.

Electronic payments are at an all-time high. What once was a rarely offered service, today is as commonplace as an ATM. Each month, companies tap into our accounts for everything from video streaming to coffee delivery. Lacking a careful, regular review, these expenses can quickly add up to hundreds or even thousands of dollars a year.
What’s more, many of these subscriptions have been in place so long, they no longer offer the best pricing or reflect current services. mobile phone plans, internet packages, and software all undergo minor and major updates, and accessing better rates on better products is often no more than a phone call away. Here are some ideas for reducing monthly expenses.

Cancel subscriptions

Many areas of the world closed gyms at the onset of COVID-19 lockdowns and in some areas, they are still closed. Thousands of people have found new ways to workout from home, either by creating exercise routines outdoors or by setting up an in-home gym. While this is a great way to save money, don’t forget to cancel the withdrawals of monthly subscription from an online account. At an average of $16 per month, this can result in a savings of nearly $200 per year.
It’s easy to forget all the subscriptions set up for automatic payments, so don’t rely on memory alone. Gather all payment methods, including bank statements, credit card statements, and online payment processors to check for recurring charges. Some charges are monthly, while others are annual. Be sure to look from month to month, quarter to quarter, and year to year.
Online and printed magazines are also recurring charges. Take a look through the stack accumulated and evaluate them carefully. When was the last time the publication offered tangible benefit? Is it worth it, or are there less-expensive options? Some printed magazines are available online for less, some for free.
Instead of deleting email offers, take a moment to unsubscribe. By avoiding sales and irresistible offers, impulse buying is reduced or eliminated.

Review utilities

Utility costs are another recurring expense that should be reviewed. Gather the bills for the last year and look for spikes in water, electric, or gas usage. Old water heaters, dishwashers, refrigerators, and toilets are unlikely to be efficient. Consider replacing these appliances with newer models that use less energy or less water. Not only will you reduce utility costs, going green is good for the environment.
Australia has an appliance-purchase assistance and rebate program to reward energy-efficiency. Before purchasing a new appliance, check their website for qualifying information.

Find a better fit

In the same way, streaming companies are offering more attractive packages, mobile phone companies too are in heated competition and are eager to retain their customers. Phone the customer service department of your current carrier and review the options. Sometimes a simple discussion about shopping services is enough to prompt a current provider into offering deeper discounts to save the relationship.

Today, it’s common to have only a mobile phone without a backup landline. If this is an option for your household, check the contract for the phone provider for term obligations. If none exists, cancel the line. If an agreement still governs the line, ask what the fee is for early termination. Do the math to calculate the ongoing expense versus the buyout.

Get what you need

Internet service providers are also working hard to keep customers. Here again, a phone call to the customer service department is likely to result in more significant savings than those found on their websites.
If your area has multiple providers, shop around for rates on only the services needed. Pre-configured packages are targeting specific groups of users. For those with special needs or those that don’t need a landline, for instance, stand-alone internet service may be offered but not promoted.

Groceries

Buying general supplies for the household is probably one of the most necessary of all expenses. I guess this was made even more evident by the rush to supermarkets COVID first reared it ugly head. But with that said, it’s one area that most of us could cut a large amount of our spend.
If you really plan out your shopping trips you can ensure that you only buy what you need and ensure that you are going to be purchasing enough that you will not need to do pop-in shopping which is where people tend to do a lot of impulse buying.

The bottom line

Recurring expenses don’t seem like they can have much impact on a family’s budget, but they quickly add up. A couple of magazine subscriptions, annually renewing software licenses, phone lines, and internet service can represent thousands of dollars in savings by cancelling or switching to product offerings more in line with need.
Calling the customer service department rather than shopping online can disclose unadvertised specials, configurations, and overall savings. Money saved can be redirected to a savings account to provide a cushion during current economic challenges.