Feeling overwhelmed by bills? Growing up, I was always told that bills are an unavoidable part of life. But that doesn’t mean you should always feel financially strained by them.
If your bills are high and causing you stress, remember, you’re not trapped. There are several ways to cut down your bills and make your budget more manageable. Here are my top 7 tips to help reduce your bill burden:
1. Cut Down on Grocery Costs
Groceries can be one of the biggest monthly expenses. Many people struggle to control their grocery spending due to their shopping habits. Impulse buying, especially with a credit card, can lead to overspending.
To manage your budget better, use cash for purchases and always shop with a list. If you frequently eat out for lunch, try packing your own meals. We did this years ago, and it didn’t drastically increase our grocery bill.
You can also use cash back apps like Ebates to earn rebates on groceries, making it easy to save money.
2. Downsize Your Mobile Phone Plan
If you’re not locked into a contract, make sure you’re getting the best deal on your phone plan. I prefer prepaid plans since they’re often cheaper than contracts. Many major mobile companies now offer affordable prepaid plans or flexible contracts.
Choose a plan based on what features you need and how much you’re willing to pay. I’ve been using Straight Talk for years, with plans as low as $35/month for talk, text, and data. If I need to save more, I can easily downgrade my plan.
3. Use a Programmable Thermostat
An easy way to lower your heating or cooling costs is to delay turning on the heat or AC. In the summer, use fans and other methods to cool your home before switching on the AC.
If you have a programmable thermostat, use it wisely. It automatically adjusts the temperature based on your daily routine. For example, you can set it to change the temperature when you’re asleep or out of the house. This can save you at least $15/month on your utility bills.
4. Take Advantage of Energy Assistance Programs
If you’re struggling with your electricity bill and have a low income, you might qualify for energy assistance programs. Various government and community organizations offer help with utility bills by covering a portion of the payment.
These programs usually have income limits and other eligibility criteria. If you’re having a tough time, consider these programs as temporary solutions until your situation improves.
5. Increase Your Insurance Deductibles
A quick way to lower your insurance premiums is to raise your deductible. While this means you’ll have to pay more out-of-pocket before your coverage kicks in, it can reduce your monthly payments.
If the higher deductible is manageable and you rarely file claims, this might be a good option. You can also shop around for better insurance rates with equivalent coverage. I do this often with my car insurance, and it saves me a lot of money.
6. Consider Getting a Roommate
Sharing your living costs with a roommate can significantly reduce your bills. While it might not be feasible for everyone, if you have extra space, you might consider renting it out.
My husband and I are thinking about this with our spare room. A roommate could pay a fixed rent or share the utility costs.
7. Eliminate Unnecessary Bills
While some bills are unavoidable, others might not be. If you’re feeling overwhelmed, review your bills to identify any that are unnecessary. For example, consider canceling subscriptions if you’re struggling to pay essential bills like utilities or medical expenses.
A free service called Trim can help you find and cancel forgotten subscriptions. Distinguishing between wants and needs can reduce financial stress. Even temporary cutbacks can improve your budget.
How do you manage to lower your bills? Feel free to share any additional tips or ideas.