Save over $15,000 this year by following just these four small steps.
Cutting the Cord
I never thought I would say this in a million years, but I’m cutting the cord and venturing out into the world of online streaming services. When I sat down and looked at the shows I actually watch, it made more sense to buy complete seasons of my favorite shows instead of paying over $180 a month for cable, phone and internet. I love HBO, but all I watch is Game of Thrones and the occasional movie. Once I did the math, it was a no-brainer. I will save over a $1000 a year by bidding adieu to my cable provider and using Amazon Prime.
Save Money on Daycare
One of the most expensive bills I have is paying for daycare. In my neck of the woods, the daycare bill can run from $1200 to $2000! By choosing a home daycare provider, I will be saving $480 a month (or $5,760 a year). That’s huge! That’s money that can go into Junior’s college fund OR dare I say it towards your retirement.
Signing up for a Flexible Spending Account
Let’s face it, having children is one of the biggest expenses there is! By signing up for a dependent care flexible spending account, I can have expenses reimbursed (up to $5,000) each year. That means that in addition to saving $5,760 by switching to a home daycare provider (see above), I can also put $5,000 back into my pocket and reduce my taxable income at the same time!! Putting it altogether, I can expect to pay $4,360 on childcare this year!
Buy Buy to Dinners Out
I love to cook. I love cooking all of those drawn out recipes that take hours to make but are soooo delicious when they’re finished. What I’m not so fond of are the 50 dishes I had to use to make that dinner or taking a lifetime to cook something on a weekday after a long day of work. I hate to admit it, but I eat out mostly because I don’t want to do what comes after…kitchen labor! I checked my spending and I literally waste $400 a month on eating out (this has nothing to do with my grocery budget). So, I’ve resolved to cook three times a week, making enough food for at least one day of leftovers. If I can stick to my plan, I can expect to save $4,800 just by eating in my house.
When all is said and done, I can expect to save $16,560 this year! These changes may seem small, but they have big returns. What are you doing to save money in 2016? Feel free to share.