How to manage your subscriptions to save money

A $5 withdrawal here, a $15 withdrawal there – it all sounds affordable until you get to pay your bills and realize there’s less left over than you thought there would be. Sure, subscriptions are not the only reason for that, but they’re certainly not helping, especially if you’re not actually getting the most out of them. According to the latest Bango report, the average American spends about $77/month on all media subscriptions (video streaming, music, etc.) Over the course of the year, that adds up to almost $1,000. An amount we’re sure could be used elsewhere, like a credit card bill, a car payment, or even just a rainy-day fund. Even reducing that monthly amount a little can make a difference, and here’s how to do it.

1. Start with a Subscription Audit

Any problem can only be solved once you know what the problem actually is. Pull up your bank or credit card statements from the past 3-6 months and make a list of every recurring charge. The total may just shock you.

TextNow Tip: You can also use a free app like RocketMoney to link your bank account and keep track of charges/subscription for you.

2. Categorize your Subscriptions

Once you’ve identified them, split your subscriptions into three buckets:

Must-Haves: Essentials you truly use daily (cloud storage, Netflix).

Nice-to-Haves: Fun, but not essential.

Forgotten: The ones you may have truly forgotten about (should be pretty self-explanatory what to do with those).

3. Cut Back

Here comes the actual work: start cancelling the subscriptions you don’t absolutely need.

If it feels like you’re using every single one regularly, and you can’t bring yourself to cancel, here are some other helpful tips:

Bundle subscriptions: look for bundling opportunities (more commonly offered with media subscriptions), such as Diseny+ with Hulu and ESPN, allowing you to cancel any other subscriptions that fulfilled those needs.

Look for Discounts: Many services will have student or family plans that are cheaper per person.

Share accounts where possible: We know that many (mostly video streaming) providers are cracking down on this, but if it’s possible to share with someone in your household, don’t be afraid to ask! Chances are, they’re also looking to save more money.
Turn on subscriptions as needed: If you’re only keeping Netflix because you like to watch Love is Blind, don’t keep it bloating your wallet during offseason. Cancel it after the season is done, and upgrade again when the next one comes on. Reality is, most of the content on a streaming platform is disposable/you can live without, but if you’re really set on a couple shows/movies, just adjust your subscription status as needed and save for the rest of the year.

4. Do a Quarterly Check–In

Every few months, repeat the audit process and cancel anything that doesn’t feel needed anymore.

Even if you just end up saving $5-$10 here and there, you’ll be surprised to see how quickly that can add up, and how much it can start freeing up in your monthly budget (just like switching to a $0/month phone service!)

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