Tips for Trimming Monthly Housing Expenses

Do one thing: If you are spending more than you earn, hit the pause button on all but your most basic necessities. The best way to get out of a hole is to stop digging.

Finances Can Cause Stress

Millions of Americans are worried about money, with nearly 75% of U.S. adults saying they are stressed about finances. And a little more than 60% of Americans are living paycheck to paycheck. This doesn’t have to be you. 

Easy Ideas to Cut Household Costs

If you could use some ideas on how to cut housing costs (and honestly, who couldn’t right now?) to save more and have a little breathing room at the end of the month, we’re here to help get your household finances in order. Here are some savvy strategies on how to best reduce some typical household costs:

Sneaky Subscriptions

If you don’t have a budget, you should still be regularly checking in on your recurring household expenses, especially those monthly subscription services that often get overlooked.

• Media Streaming. You could be paying for music, TV, and movie streaming that you rarely use.
• Fitness. The same goes for gym and exercise memberships, club memberships, apps, online classes, and paid podcasts can be cut if you never actually use them.
• Other Subscriptions. Clothing services, food delivery, games, makeup, and others could free up room in your budget if you’re no longer using them.

Budgeting Tools. Use a spending plan tool to provide more visibility into recurring expenses that can get lost in the monthly budget. SavvyMoney users have access to a budgeting tool that can help make sticking to a spending plan a snap.

Dialing Back Digital

While millions of Americans cut the cord on cable services in recent years, the price for home internet has ballooned right along with our need for ever-present Wi-Fi from the kitchen to the closets.

Keeping Media Costs in Check. Internet, cable, and TV bills should be revisited at least on an annual basis to make sure that you are on the best plan offered by your provider. Many subscription prices change, but internet and cable providers do not notify customers of the lower-cost options available. You have to be proactive to ensure you receive the best pricing by checking in regularly.

Stock Up on Sales

Another tip for reducing grocery and household expenses is to stock up on staple items when you see them on sale, instead of waiting until you are about to run out.

• Toilet paper. Try to buy it when you see it on sale instead of waiting to buy it when it is full price.
• Other staples. If you have space, buy a six-to-eight-week supply of items, including:
  • Paper towels
  • Shampoo
  • Cleaning products
  • Canned goods
  • Anything that will keep for at least a few months

Don’t Defer Maintenance

Homeowners should take a proactive approach to reduce household repairs and maintenance. Regular maintenance on things like your HVAC system will help you avoid more costly repairs that arise when systems are neglected. In other words, you should schedule a once- or twice-a-year checkup of your HVAC system to ensure the ducts are free of debris and your system is heating and cooling properly.

Beware of Extended Warranties

We’ve likely all been there a time or two, credit card in hand, debating silently if we should plunk down an extra $100 or $200 for the extended warranty on a brand-new oven or washer. Not so fast. Extended warranties are intentionally confusing and limiting. Be sure to read the fine print and understand the warranty before you make any decisions.

Build Your Emergency Fund. If you worry you won’t have the funds for a pricey repair, now is the time to create an emergency fund so the next time something breaks, you are better equipped to handle the unexpected expense.

Investigate Your Utilities

They may be boring, but paying for power, sewer, and water can eat up a big chunk of your take-home pay.

• Don’t just assume there’s nothing you can do to lower these monthly costs.
• Utility providers in many states now offer their customers an online way to track their usage from month to month and year to year.
• Call or visit your provider at least once a year to make sure you are taking advantage of any discount plans available.

It can’t hurt to ask and it could help save you some money.

With reporting by Casandra Andrews