How to Reduce and Eliminate Household Expenses

Paying bills is never fun, but it’s even less exciting when those monthly expenses make you sacrifice the lifestyle you want to live. The key to saving money is knowing how and where to trim your budget. It’s time to reduce and eliminate some of those unnecessary household expenses and have more spending money left over each month.

Rethink Your Entertainment

With the many streaming services available today, it’s no wonder more and more people are ditching their cable services.

Apple TV is a popular streaming option, as are Netflix, Hulu and Amazon Plus. You can save hundreds every year by switching to these services. In fact, many streaming services like Netflix and Amazon also allow multiple users under one account, so you can split the price with friends or family.

Ditch Your Landline

How often do you use your landline? Chances are your home phone has turned into a novelty and goes unused.

The percentage of American homes with landlines has dropped to 74 percent in the last 10 years. That number continues to drop with increasing speed, and there are good reasons why.

For most households, a cell phone is more useful, so why pay two different telephone bills? It may be time to cut the cord.

Cut Down On Energy Consumption

About seven percent of the average American’s income is allocated to utilities according to the U.S. Department of Labor. This accounts for approximately one-fifth of the overall costs associated with living expenses.

To cut back on this cost, keep your home’s indoor temperature around 76 to 77 degrees when you’re home, and lower the air conditioning when you are at work during the day or traveling. When you aren’t using electrical devices unplug them (about 5-10 percent of your electricity is used by devices that are plugged in 24 hours a day) and only run full loads of laundry and dishes.

Renegotiate Your Insurance Rates

Did you know that insurance for your home, rental, car, and health is negotiable? Insurance rates fluctuate often, so you could be missing out on a lower rate if you don’t shop around for new insurance at least once a year.

Plus, competition is high among insurance companies, so use this to your advantage. Talk to your insurance company about less expensive rates you’ve been quoted by other companies.

Apply these tips and you’ll save hundreds, if not thousands, every year.