Most people don’t want to begin thinking about recurring expenses right after Christmas. After all, they just got done unloading cash on presents. However, bills that come regularly don’t take breaks. They keep coming, regardless of what people have going on in their lives. So, if you haven’t begun searching for ways to cut down on your recurring expenses in 2022, what are you waiting for?
Taking action now could help you save a lot of money. But, of course, if you’d rather live from paycheck to paycheck by doing nothing, that is an option too. Use these tips to avoid spending all of your cash on pesky bills and live your best life in 2022.
1. Lower Your Auto Insurance
It wouldn’t hurt to shop for car insurance quotes today to save on recurring expenses in the coming year. Then, you’ll be able to choose a top-notch policy that doesn’t break the bank.
Auto insurance is something that can feel like a waste of money. This is because you pay the premiums each month, but if a wreck never occurs, you never have to file a claim. There isn’t necessarily anything wrong with that, because you get peace of mind in return.
2. Obtain an Insurance Bundle
Do you have other types of insurance? For instance, do you own a homeowners or renters insurance policy? If that’s the case, and you’re tired of spending an arm and a leg on these products, ask your insurer if they offer bundles. Many insurers offer discounts when clients buy multiple policies from them. Talk to your carrier to see about cutting back on recurring expenses in 2022if bundling is an option for you.
3. Improve Your Credit Score
Did you know that many companies check credit scores? Before approving an auto or mortgage loan, banks and other financial institutions will often check your credit history. Depending on where you live, your credit may even play a role in determining your car insurance interest rates.
If you have a bad score between 300 and 499, consider improving the number to save yourself some money in 2022. This can be useful if you’re planning to get a loan next year. To boost your credit score, you can try the following:
- Make payments on time.
- Request a credit line increase.
- Become an authorized user on someone else’s credit card.
- Use a credit boost service.
4. Switch Cell Phone Carriers
Many cellphone owners feel like they pay too much for their service. If that describes you to a T, why not try to reduce your phone bill in 2022? There are plenty of carriers on the market today, and many of them will be offering New Year’s promotions.
Just remember to read the fine print before making a big switch. That can save you a lot of grief in the long run.
5. Ask Your Existing Carrier About Discounts
Then again, you don’t necessarily have to switch carriers. Instead, you might be able to reach out to your existing provider to see if you qualify for discounts. Some companies provide rewards to loyal customers, so all you may have to do is ask to get a low recurring phone bill each month.
6. Lower Your Energy Bill
Unless you’ve invested in solar power, your house is probably like most others in that it relies on the electric grid. That means you are at the mercy of the company selling the kilowatt-hours, and your electric bill could quickly get out of hand.
That said, one way to reduce recurring electric energy costs in 2022 is by investing in alternative energy sources. Or, if you aren’t interested in doing anything quite that drastic, what about replacing the bulbs in your home with energy-efficient bulbs? That is another way to decrease energy usage.
According to energy experts, average households can also save approximately $225 in electricity costs annually by using LED lighting. So, if saving money is your primary objective, use these tips to accomplish the feat.
7. Decrease Food Costs
Have you been to the grocery store lately? The cost of everything from sliced bread to eggs has increased because of inflation. So, to keep this recurring expense in check and prevent yourself from going over budget, you’ll need to think outside the box.
One way to lower your food costs is by comparing prices. Look at competing stores online and determine which one has what you need for the lowest cost. Also, digital coupons can help you decrease your grocery store total. With them, you’ll get so much money knocked off certain products or possibly even get them for free. In addition, you could switch from name-brand to generic-brand items. The latter are typically cheaper, and purchasing them can drive your costs way down.
8. Upgrade Your Home
Unfortunately, people must first sometimes spend money to save money. And that could be the case if you want the savings to come by way of your homeowner’s insurance policy. Initial investments for upgrades like fire, carbon monoxide detection, and security systems may help you get reduced premiums. Make sure to discuss the upgrade details with your insurer beforehand to maximize the savings.
9. Do-It-Yourself Maintenance
If you’re a hands-on homeowner, you could save some money on recurring expenses next year with do-it-yourself home maintenance. For example, if you know how to clean your gutters safely, remove debris regularly to keep rainwater flowing freely. Not only will doing so save you some cash up front, but it could also keep your roof in tip-top shape and prevent leaks. This can save you even more money in the long run.
10. Say Goodbye to Cable
Depending on where you live, you probably have cable or satellite TV. Do you really need it, though? How many of the channels do you actually watch on your current package? If you’re trying to lower your recurring expenses, maybe it’s time to ditch this provider. Instead, consider a cheaper streaming service to watch your favorite shows whenever you wish. You can also invest in a digital converter box to access free channels.
The Bottom Line
Over the last few years, people everywhere have seen their budgets stretched thin. As such, everybody could use a little help saving on recurring expenses in 2022. Hopefully, that will be the case for you with this list.