10 Best Ways to Lower Your Bills Now

Whether you need quick ways to cut expenses ahead of the holidays or just want to save more for retirement (or other financial goals), there are plenty of ways to lower your monthly bills now. Some tactics might put a few dollars back in your bank account, while others can save hundreds each year.

Whatever the goal, use these 10 methods to cut your bills and save more money now.

10 Best Ways to Lower Your Bills Now

1. Switch to a better smartphone plan.
2. Cut your food bill.
3. Buy online for bigger discounts.
4. Buy in bulk when possible.
5. Use a rewards credit card.
6. Save power at home.
7. Save gas on the road.
8. Cancel unused memberships and subscriptions.
9. Shop your auto insurance.
10. Pay less interest on your debt.

Here's more detail about each of these ways to lower your bills and save money.

1. Switch to a better smartphone plan.

Everyone has a smartphone these days, but you can save by finding a plan that gives you the right amount of minutes and data for less. Figure out how much data you’ve used for the past several months and then research plans that fit.

Check out TracFone, a pay-as-you-go wireless phone service that doesn’t require long-term contracts, credit checks, deposits, activation fees, or monthly bills. This simple service runs on the nation’s best 4G LTE networks and with Unlimited Carryover you keep any unused minutes, text, and data. Even more, you have the power to alter your no-contract plan as often as your needs change, without penalties. 

2. Cut your food bill.

Stick to the perimeters of the supermarket, where you find vegetables, dairy products, and meats. The middle aisles are stocked with processed foods that can wreck your food budget.

In general, Americans eat too much and waste too much food. If you’re in the habit of buying loads of prepackaged or frozen foods, it’s time to change your approach to cooking. Instead, buy whole foods that cost less, are healthier, and will probably taste much better.

Stick to the perimeters of the supermarket, where you find vegetables, dairy products, and meats. The middle aisles are stocked with processed foods that can wreck your food budget.

Also, find out where the best farmer’s markets are in your area. You can choose from a variety of seasonal fresh fruits and vegetables from the people who grow them or broker them. Depending on where you live, some bigger farmer’s markets also have a variety of fish, meat, bread, coffee, condiments, and pre-made salads.

Making it a routine to visit the farmer’s market every week can also be a fun family outing. Even if you must drive to another city or town, the savings and quality you get can really be worth it. Be sure to bring cash, since some vendors may not accept credit cards. Plan several meals at once so you shop less frequently, which saves time, hassle, and gas money.

When cooking at home, a great strategy is to double or triple a recipe and then freeze portions for future lunches and dinners. Not a fan of leftovers or shopping? No problem, try a meal delivery service like Sun Basket that can be very economical They bring seasonal, pre-measured ingredients to your door in a recyclable, refrigerated box, so you have zero waste.

3. Buy online for bigger discounts.

For many items, you’ll come out ahead purchasing them online. Here's why:

• You stay focused. When you wander around a brick and mortar store, it's easy to get distracted by in-store displays, sale items, or trying things out, and end up buying more than you really need.
• You save time. Shopping online is much faster and more efficient than battling traffic, parking, and long checkout lines in stores.
• You get free shipping. Many large online retailers offer free shipping to keep you loyal. So, you get what you need without having to pay for transportation or go anywhere. 
• You don’t have to handle what you buy. Having items delivered to your doorstep or apartment mail room saves you from having to do the heavy lifting, especially for bulk orders. 
• You can easily compare prices. Searching for an item online shows you a variety of sites that sell it. It's easy to see which merchant has the lowest price, an upcoming promotion, or free shipping.

When you’re shopping online, never check out before searching for ways to get even more savings. There are some great cash back and discount code sites that can really sweeten the deal.

TopCashBack and Ebates are a couple of my favorite ways to cut the cost of just about any online purchase. These rewards sites are completely free to join and use. They get paid from thousands of top online stores when you buy something. Instead of keeping the whole commission, they share a portion of it with you.

Buying non-perishable items in bulk can save a lot over time—as long as you expect to use the excess in the future.

4. Buy in bulk when possible.

Buying non-perishable items in bulk can save a lot over time—as long as you expect to use the excess in the future. For example, buying one box of 50 garbage bags may cost $0.15 per bag. But buying 250 of the same item may reduce the cost per bag to $0.08.

I always buy paper products, cleaning products, soaps, vitamins, and office supplies in large quantities because I’m certain that I’ll use them. Additionally, some grocery items with long shelf lives—such as coffee, popcorn, cereal, rice, beans, pasta, and canned food—may be smart bulk purchases, if you’re sure that you will consume them before they expire.

I’m a big fan of Amazon’s Subscribe and Save program because you get up to 15% off a huge selection of grocery, personal care, and household items, plus free shipping. You set the delivery schedule you want and can cancel at any time. It’s a really great way to manage bulk orders in one place.

5. Use a rewards credit card.

There are a variety of rewards credit cards that can layer on additional savings. The more qualified purchases you rack up, the more cash or points you’ll get back to spend. I use a rewards card to pay for just about everything from everyday purchases to household bills.

When you use a rewards card responsibly and pay off your balance in full and on time each month, you get to take full advantage of the rewards without having to pay any interest charges or late fees. The idea is to get benefits for purchases that you’re going to make anyway—not to buy more than your budget allows or to buy extra stuff just for the rewards. So, my advice is not to change your spending habits, just change your payment habits.   

See also: Canceling Credit Cards--5 Questions to Ask Before Closing Accounts

Choose a credit card that will earn rewards at the stores where you shop or for the type of products that you buy frequently, like groceries, gas, or airline tickets.

Use these tips to get the most from a rewards card:

• Earn rewards where you spend the most money. Choose a credit card that will earn rewards at the stores where you shop or for the type of products that you buy frequently, like groceries, gas, or airline tickets. For instance, Amazon Prime members can get a rewards card with 5% back on purchases at Amazon.com, plus discounts at restaurants, gas stations, and drug stores.
• Get a card with no annual fee and the lowest interest rate possible. This will increase the value of your rewards and cost you less if you do have to carry a balance from month to month (but remember that’s not what I recommend). However, paying an annual fee can make sense if you’re a big spender and will earn more than enough rewards to offset the cost.
• Stay alert to rewards expiration dates. If you earn points that must be redeemed by a certain date, be sure to put a reminder on your calendar so you don’t lose them. 
• Consider a card’s additional free benefits. Extra offers like travel insurance, extended product warranties, and other buyer protections may make one card a better deal for you than another.
• Take advantage of bonus programs. Some rewards cards offer discounts or extra points or travel miles when you shop with their merchant partners or through their online shopping malls. Always review the partner offers before you make a big purchase so you don’t miss any discount opportunities. Getting the most out of your rewards program will mean spending a little time managing it—but it’s well worth it.

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6. Save power at home.

Whether you own or rent your home, there are easy ways to cut your power bills. One option is to find out if your utility company offers an energy management program, which reduces power during occasional periods of high demand.

If you’re willing to give them control over certain appliances (such as your water heater, pool pump, or central air conditioner) during limited times, you can receive a nice rebate. This is a great option if you’re away from home during a large part of the day.

If you can’t get a power rebate, do your part to conserve power and water. Consider lowering the temperature on your hot water heater to 125 to 130 degrees Fahrenheit and doing more loads of laundry using cold water.

See if your thermostat is programmable so you can turn up the heat or cool air just before you get home, rather than paying for it all day long. If not, you can purchase a basic programmable thermostat for as little as $15 on Amazon.

See if your thermostat is programmable so you can turn up the heat or cool air just before you get home, rather than paying for it all day long.

7. Save gas on the road.

Many gas stations located near highways charge more per gallon than those farther away. So, choose a less expensive station and pay for gas using a rewards credit card that gives you cash back or points for every dollar you spend on gas.

Also, keep an eye on your tires because they lose pressure slowly over time. Driving with underinflated tires reduces your fuel economy. Check your owner’s manual or the sticker in the driver’s side door to find the proper tire pressure for your vehicle. Every two PSI of air added to your tires can improve gas mileage by one percent.

8. Cancel unused memberships and subscriptions.

Look back over the past 12 months and consider how often you really use memberships, such as a gym or country club. If you’re not using them at least once a week or every other week, you’re probably not getting your money’s worth.

If you’re getting a newspaper or magazines that you don’t read, cancel them at renewal. You may be able to get the same content for free online. If you drop a service, but really end up missing it, you can always purchase it again in the future.

9. Shop your auto insurance.

Every driver needs auto insurance, but you may be overpaying if you haven’t shopped and compared quotes in a while. No two insurers charge the same rate for the same policy because they evaluate policyholders differently.

For instance, if you’ve received a moving violation, don’t have good credit, or drive a high number of annual miles, carriers have unique calculations that factor these into your rate. You may find that your current auto insurance provider is giving you a good deal, but you won’t know until you shop at least several different companies. 

Most insurers offer a discount if you bundle your auto policy with a home, condo, or renters policy. If you use different companies for different types of insurance, ask for a bundled quote. Also consider getting quotes with higher deductibles on your auto and home policies. That will lower your annual premium, but the savings varies depending on the state where you live. Check out sites like Metromile, USAA, and Liberty Mutual Insurance for free quotes.

Most insurers offer a discount if you bundle your auto policy with a home, condo, or renters policy. If you use different companies for different types of insurance, ask for a bundled quote.

10. Pay less interest on your debt.

Reducing your debt, or the interest rate you must pay for it, helps cut your monthly expenses. If you have large debts, such as home loans, look at refinancing your mortgage for less when interest rates have dropped at least 1% below the rate you’re paying. For student loans, you may be able to consolidate them or do a refinance, depending on whether they’re from the federal government or a private lender.

If you have smaller debts with double-digit interest rates, such as credit cards or personal loans, consider if a balance transfer credit card could save money by cutting your interest to 0% during a promotional period. 

See also: 8 Pros and Cons of Using Personal Loans to Consolidate Credit Card Debt

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