Spring clean those recurring monthly subscription fees!
Here is a list of a few fees that frequently get forgotten:
- Storage units
- Gym memberships
- Monthly streaming service subscriptions
- Book memberships – either from a library that you can choose or by listening to books on tape (both have separate memberships)
- Gaming memberships to games you do not play any longer
- Pet supply delivery or day camps
The point is to take a good look at your bank statement and question the item. Do I still need it? What would it take to cancel it? What would I gain if I canceled that subscription?
Here are 2 examples that walk through the process:
- Let’s say you have a storage unit. You thought you would have gone through it last summer, but things just got busy and there it sits, full of stuff. It is interesting because you can think of a few of the things that are in there, but the rest of it just kinda seems a little fuzzy.
- Let’s take a moment and just think about the financial cost of the storage unit. If you spend $100 per month for a storage unit, that is $1200 a year.
- Ask yourself: How much are the items in the storage unit worth?
- Ask yourself: How hard would it be to replace the item when you have a place for it that is NOT a storage unit?
- Ask yourself: What is the mental and emotional cost of keeping that item? E.g. Maybe it comes to mind every time you drive by a storage unit and the mental chatter of “I should be going through my storage unit” comes up, and then the loop of negative self-talk starts to play.
- You have a monthly gym membership that you used to go to frequently, then life happened and now you haven’t been in a while. If your membership fee is $32 a month, that means you are paying $384 a year for something that you are not using at all. Maybe you:
- Realized that you need a work out buddy to keep you motivated
- Moved and now it is just not a convenient
- Started a new job and the timing doesn’t work out
- Now you have a spouse or a young family
Here is one more example: Say you were to add up all of your fees and subscriptions, and they added up to $175 a month, that would be $2100 a year!
What could you do with an additional $2100 a year? How much interest would you save in your credit card? What vacations could you go on? All without changing your lifestyle of spending behavior.
If this sounds like something that you need help with, please consider scheduling a Financial Planning Session with me. Having a professional with you as you are going through your finances and subscriptions can help keep you on track with your goals!