How to manage subscriptions and save on monthly expenses
What's the story
Managing monthly expenses can be tricky, especially with subscription services on the rise.
Most of us end up paying for subscriptions we don't use or need anymore, leading to unnecessary charges.
By keeping tabs on these subscriptions, you can manage your budget better and save money from being wasted.
Here are some practical insights into how you can effectively monitor and control subscription expenses to prevent forgotten charges from hurting your financial health.
Digital tools
Use subscription management apps
As the name suggests, subscription management apps help users keep a track of all their active subscriptions in one place.
Most of these apps send reminders ahead of a renewal date, letting users decide whether they want to continue with the service.
Some even provide insights into spending patterns, helping you figure out which subscriptions are worth keeping based on usage frequency and cost-effectiveness.
Financial check
Regularly review bank statements
Regularly reviewing bank statements is an easy way to look for any recurring charges that may have been missed.
By doing this monthly or quarterly, you can catch unwanted subscriptions and deal with them accordingly.
Not only does this make it easy to get rid of forgotten charges, it also ensures that your financial records remain updated and accurate.
Timely alerts
Set calendar reminders for renewals
Setting calendar reminders for subscription renewals is the best way to avoid unexpected charges.
By marking the renewal dates on a digital calendar/planner, you can get timely alerts about upcoming payments.
This way, you get enough time to assess if you still want to use the service or get it canceled before the next billing cycle starts.
Information
Opt for annual subscriptions when possible
Opting for annual subscriptions instead of monthly ones can save a lot in the long run. Many services provide discounts on annual payments instead of monthly, cutting down costs by 10% or more in some cases.
Streamline expenses
Consolidate services where possible
Consolidating similar services under one roof can make management easier and save a lot of money.
For instance, picking a single platform providing multiple kinds of content - say, music streaming and video streaming - could prove more economical than signing up separately with different providers offering similar kinds of content at higher rates individually.