From streaming services, to meal kits and fitness apps, to monthly boxes for our pets, subscriptions are everywhere. At first, they seem harmless – a few dollars here, a small monthly charge there – but over time, those auto-renewing charges can quickly eat away at your budget. If you’re wondering where your money is going each month, it’s time for a subscription detox. This is a simple way to clean up your finances and make sure you have enough money for what really matters. 

Why a Subscription Detox Matters
Subscriptions are designed to be convenient, but that often means forgettable, which is why they are so sneaky! According to a recent survey, Americans spend over $200 a month on subscriptions and don’t even realize it. A subscription detox will help you eliminate wasteful spending, make more intentional financial choices, prioritize what you actually use and create space in your budget for savings or other financial goals. Here are some steps to take during your subscription detox:

1. Take Inventory
Start by reviewing your bank statements or using a budgeting app to track every recurring payment for the past few months. Look for streaming services, music or audiobook services, food delivery memberships, fitness or wellness apps, cloud storage or software and subscription boxes. You will likely be surprised by how many you are actually paying for!

2. Ask Yourself What’s Important
Once you have all of your subscriptions laid out in front of you, ask the following questions: 
  • Do I use this regularly?
  • Is it worth the cost?
  • Can I live without it?
  • Can I share this subscription with someone?
  • Is there a free or cheaper alternative?
Be honest with yourself – the odds are that you are not using all of those services!

3. Cancel What You Don’t Need
This is the detox part of the process. Cancel any service that does not provide real value to your life. Some companies may offer discounts or freebies, but don’t let that pressure you into staying subscribed if it no longer serves you.

If there are services you decide to keep, set calendar reminders for the next billing cycle so you can reevaluate before getting charged again. This will also help prevent you from feeling caught off guard by a charge you didn’t budget for.

4. Put That Money to Better Use
Every dollar you save from your detox can be put to better use, whether it’s adding to your emergency fund, paying down debt, saving for a future vacation or adding more to your 401(k). You will certainly realize a better return from that money than from the grocery box subscription you only eat half of! 

5. Prevent Future Clutter
Avoiding falling back into the subscription cycle is the most essential part of the review. If a new opportunity arises, sign up for the free trial, but set a reminder to evaluate the value before your first billing cycle ends. Make sure you reassess your subscriptions every six months to ensure you are being mindful about your spending. 

You might be surprised how much lighter our finances and mental load feel when you let go of things you don’t need!

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