Activity 3: Assess New Ways to Cut Costs

In our last activity, you took a closer look at all of your subscription services, and canceled those that you aren't using.

Now, we'll take a deeper dive into other areas of spending to see where you can start saving even more money.

In this activity, we'll share six actions you can take, to help you learn to do more with less.

1. Say no to food delivery and cook meals at home

Nearly 8 in 10 Americans use food delivery services. The average American orders in nearly four times each month and spends about $35 per order. While that may not seem like a lot, for the average consumer it adds up to more than $1,500 a year.1 What if you could put that money toward your financial goal?

2. Adjust your thermostat

If you lower your thermostat by seven to 10 degrees for eight hours a day, you can save as much as 10 percent in utility costs.² Dial the thermostat down when you leave the house or before going to bed to realize those savings. Upgrading to a programmable thermostat can help you control temperature settings when you’re not home, potentially saving you even more.

3. Get a library card

Satisfy your reading habit for free. Not only can you check out a book from your local library, but with a library card you can download ebooks, audiobooks and digital magazines using the Libby app as well.

4. Do your laundry at night

Appliances and electronic devices account for approximately 23 percent of home energy use.³ Call your utility provider to find out if the company offers time-of-use rates, which reward you with lower pricing when you power up at off-peak times such as late at night.

5. Reshop your home and car insurance

Call three other insurance providers to see if you can get a better deal. If you find one, you can ask your insurance provider to match or beat the lower rate.

What drives you to overspend? Stress? Anxiety? Boredom? Write down your answer, and keep it somewhere visible to help you when you're tempted to spend money on something you may not really need.  Next, take a moment to decide on and commit to at least one cost-cutting measure that we reviewed in this activity.

Now that you've discovered new ways to cut costs, let's go on to the next activity!

^{1 https://upgradedpoints.com/news/americans-food-delivery-habits/
2 https://www.energy.gov/energysaver/programmable-thermostats
3 https://www.eia.gov/energyexplained/use-of-energy/homes.php}