10 Ways to Maximize Savings in 2020

7. Cut Cable

If there’s one obvious expense to cut in today’s world, it’s cable television. The average monthly cost of cable TV in 2018 was $107, according to Fortune. That’s $1,284 every year.

Meanwhile, Netflix starts at $8.99 per month, Hulu starts at $7.99 per month, and Amazon Prime costs $12.99 per month. Get rid of cable and try an online streaming service instead.

Or better yet, get rid of your TV subscription entirely. Watching TV costs more than just money. When you ditch your TV habit, you lose less time to the couch, spend more time with your family and friends, and can get involved in hobbies – perhaps even a hobby that pays you.

8. Cancel All Non-Essential Subscriptions

Chances are, cable TV isn’t the only subscription you’re losing money to each month. Sit down and look at your last two months’ statements. What recurring subscriptions are you spending money on that aren’t dramatically improving your life?

For example, subscription boxes have grown to a multi-billion dollar industry in the United States. Companies love the subscription model; they only have to make one sale, but they get to keep earning money from you every single month. But are subscription boxes worth the cost to you? Pick through your subscriptions with a fine-tooth comb, and cancel every one of them that doesn’t leave you jumping for joy each month.

9. Switch to a “Generic” Phone Plan

The four largest mobile phone carriers – Sprint, Verizon, AT&T, and T-Mobile – spend a massive amount of money on branding. They charge premium rates to customers who are willing to pay for their brand names.

Yes, they also maintain large mobile coverage networks. But they don’t use their networks exclusively; they sell access to “generic” carriers to use the same networks. For example, Boost Mobile uses Sprint’s 4G/LTE network. Cricket uses AT&T’s wireless network. MetroPCS uses T-Mobile’s network.

It’s just like buying generic versions of prescription drugs. The active ingredient (the network) is the same; the only difference is the branding. Read up on these ways to save money on your cell phone plan, and stop paying for branding.

10. Save Money With a Little DIY Home Maintenance

According to a list of household expenses compiled by GOBankingRates, the average homeowner can spend more than $1,000 a month to maintain their home. Those costs include things you may not have control over, like property taxes or homeowners association fees. But as many Dave fans already know, many other costs can be reduced or even eliminated with some old-fashioned DIY.

That do-it-yourself attitude can save you money on home maintenance—as much as $298 a month if you’re willing to take care of routine repairs and upkeep yourself. I recommend searching the internet for solutions if you’re having problems with an appliance or your car. “Sometimes the problem is common and simple enough for you to fix yourself.”

Maybe it’s time to invest in your home and take on a DIY project to add value to the house and help you with saving money. And while we all can’t add solar panels to our homes, we can still do little, affordable things to help build value. Look into turning an old closet into a home work space, removing cabinet doors to create open shelving, or adding some flowers and shrubbery to your front lawn.

3 comments

  1. The content is great, good job Kurt. I think the first point “set a target savings rate before setting your budget” combined with consistency are the keys to succeed with a savings plan.

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