Cutting expenses sounds like a chore, doesn’t it? Most people think it means giving up all the things they love—no more streaming services, dinners out, or those little luxuries that make life fun.
But the truth is, you can trim your monthly budget without feeling like you’re sacrificing comfort. It’s all about being smart with your money, finding creative ways to save, and prioritizing what truly matters to you.
Let’s dive into some practical tips to help you cut your monthly expenses while still enjoying the life you’ve built.
Audit Your Spending
Before you can cut expenses, you need to know where your money is going.
Track Your Spending
Use our FREE budgeting templates or a budgeting app like YNAB (You Need a Budget) to see exactly where your dollars are going each month. By categorizing, you’ll easily see where you may be able to cut back.
Look for Patterns
Are you spending too much on takeout? Overspending on subscription services you don’t use? Identifying these habits is the first step toward reducing them.
Set Priorities
Decide what expenses bring you joy and which ones are less important. This helps you focus on cutting things you won’t miss. Maybe you can’t miss the new season of You (when is it coming out?!), but you can sacrifice going out to eat every week.
Lower Your Grocery Bill
Groceries are a big part of most budgets, but they don’t have to break the bank. Here’s how to save without sacrificing your favorite meals:
Plan Your Meals
Create a meal plan for the week and make a grocery list based on it. Sticking to a list prevents impulse buys and wasted food.
Shop Store Brands
Generic or store-brand items are often just as good as name brands but cost 20–30% less.
Buy in Bulk
For staples like rice, pasta, and canned goods, buying in bulk can save you money in the long run. Just make sure you have space to store them!
Use Coupons and Apps
Download apps like Ibotta or Fetch Rewards to earn cash back on groceries, and check for digital coupons before you shop.
Slash Your Utility Bills
You don’t have to sit in the dark or freeze during winter to save money on utilities. Small changes can add up:
Adjust Your Thermostat
In the winter, lower your thermostat by a few degrees and wear cozy layers. In the summer, use fans and set the AC a bit higher.
Unplug Devices
Electronics still use power when they’re plugged in, even if they’re off. Unplug items you’re not using or invest in smart power strips that do it for you. Plus, unplugging devices helps you avoid common fire hazards.
Negotiate Your Rates
Call your utility providers to see if you qualify for a lower rate. Sometimes, just asking can result in savings. The worst they can say is no!
Reduce Entertainment Costs
You don’t have to give up fun to save money on entertainment. Try these tips:
Cut the Cord
Switch from cable to streaming services like Netflix, Hulu, or Disney+. But don’t subscribe to all of them—pick one or two you actually use. On top of that, YouTube is free (yay!) and another source of entertainment.
Use Free Alternatives
Many libraries offer free access to movies, audiobooks, and even online classes. Check out local community events for free or low-cost entertainment options.
Limit Eating Out
Instead of dining out several times a week, treat yourself to one nice meal out and cook at home the rest of the time. Try making restaurant-style meals at home for a fun twist!
Cancel Unused Subscriptions
Do you really use all your streaming, fitness, or subscription box services? If not, cancel them and enjoy the savings.
Save on Transportation
Transportation is often a sneaky expense that eats into your budget, but you can save money here too:
Carpool or Ride Share
If you commute, consider carpooling with coworkers or using ride-sharing services when possible. It’s small, but the savings on gas will add up!
Maintain Your Vehicle
Regular maintenance, like oil changes and tire rotations, helps your car run efficiently and prevents costly repairs down the road.
Use Public Transportation
If it’s available and convenient, public transportation can be a cheaper alternative to driving. Stay safe and use situational awareness when taking public transport but take advantage when you can.
Shop Around for Gas
Apps like GasBuddy can help you find the cheapest gas in your area. It’s a great app especially when you’re out of town and need to stay in budget.
Make Your Home More Affordable
Housing costs are one of the biggest expenses for most people. Here are some ways to lower them:
Negotiate Your Rent
If you’re a good tenant, your landlord might agree to a lower rent, especially if you sign a longer lease.
Consider Downsizing
Moving to a smaller home or apartment can save you hundreds of dollars each month.
Rent Out Space
If you have a spare room, consider renting it out on platforms like Airbnb or finding a long-term roommate.
DIY Repairs
Learn how to handle minor home repairs yourself instead of paying for a professional. It saves money, but it’s also so fulfilling to show yourself how much you are capable of!
Spend Less on Insurance
Insurance is necessary, but that doesn’t mean you have to overpay for it:
Shop Around
Compare rates from different insurance companies to find the best deal. Many insurers offer discounts for bundling home and auto policies.
Increase Your Deductible
A higher deductible can lower your monthly premium. Just make sure you have enough savings to cover the deductible if needed.
Review Your Coverage
You might be paying for coverage you don’t need. For example, if you drive an older car, you may be consider dropping certain coverages that a new car owner would want. Always make sure you are in compliance with state laws and the minimum coverage required.
Find Extra Savings on Everyday Items
Sometimes it’s the little things that add up the most. Here are some quick tips:
Buy Used
For items like furniture, clothes, and electronics, check thrift stores, Facebook Marketplace, or Craigslist before buying new. I am a thrift store LOVER!! You can find the best deals and amazing finds with a bit of effort.
Delay Impulse Buys
Wait 24–48 hours before making a non-essential purchase. You might realize you don’t actually need it.
Use Cashback Apps
Apps like Rakuten or Honey can help you earn money back on everyday purchases. These savings add up over time, and could help you out in the future. Remember, don’t spend just to get cash back. Only spend on things you were already going to buy.
Take Advantage of Discounts
Use student, military, or senior discounts if they apply to you. I used to be FAITHFUL at Cold Stone with my student discount when I was in college. If you have a discount, use it!
Build a Savings Mindset
The key to cutting expenses without feeling deprived is to focus on what you’re gaining—not what you’re giving up.
Celebrate Small Wins
Treat yourself when you hit a savings goal, like paying off a credit card or sticking to your grocery budget. But, don’t let that treat land you back in debt! 🙂 For example, if you paid off a $500 debt, you could reward yourself with your favorite drink!
Think Long-Term
Remember that every dollar you save today is one step closer to a financial goal, like buying a house, taking a dream vacation, or retiring comfortably.
Stay Flexible
Life changes, and so will your budget. Be open to adjusting your spending as your priorities evolve.
TL;DR
Cutting your monthly expenses doesn’t have to mean sacrificing comfort or joy. By making smart choices—like meal planning, negotiating bills, and cutting unnecessary subscriptions—you can save money without feeling deprived.
Small changes add up. With the right mindset, you’ll see that living within your means can be enjoyable and comfortable.
What’s one expense you’re ready to tackle this month?
