What Can I Cut Down On?

Seeking Advice Forum
1

This will be our budget by next August. My husband will be switching jobs and wants to take a pay cut, but we’re preparing to become debt-free. Here’s a sample budget based on our current bills:

  • $1350 rent
  • $144 electric
  • $90 water and sewer
  • $82 internet
  • $87 cell phone
  • $600 grocery
  • $60 work lunch
  • $160 gas
  • $159 car insurance
  • $45 life insurance
  • $110 karate
  • $18 Spotify
  • $18 Xbox Live/Game Pass
  • $6 iCloud
  • $5 Hulu/Disney+ bundle

Total: $2,934 monthly without savings included.

What can I cut down on?

2

Look into Mint Mobile for a cheaper phone plan. It’s paid once a year and could save you money on your cell phone bill.

3

Consider switching to T-Mobile Connect pre-paid lines for $15/month. You might also look at cutting work lunches and some subscriptions. Aim to keep your fixed costs below 50% of your net income.

4

Your budget is tight, but you might trim your grocery spending with meal planning. Also, evaluate your streaming subscriptions to see if you can cut one or two.

5

Consider setting a fixed monthly payment with your utility companies to better manage your budget. Some companies offer plans that adjust based on usage.

6

Update: I negotiated our rent down to $1275 and switched to Visible for $55!