Quick question: how many of you know the exact dollar amount spent each month on your subscription services?
‘Cause I don’t know about you, but it took me a few minutes to figure it out.
I feel like, in 2019 (and almost 2020!), there seems to be a subscription service for everything. Most subscriptions for premium content (music, news, tv, movies) come out at around $10.00 a month — give or take a handful of dollars — which doesn’t seem like a lot at face value. Over time, these can begin to add up without you realizing.
Capital One Canada challenged me to take a look at my monthly subscription spending and run a financial checkup to become more money mindful in 2020. Building and following a budget is the first step towards being mindful with my money each month, but it’s also helpful for reflecting back on how I did at the end of the year. In order to run my check up, I simply opened my financial institution’s mobile banking app, and took a look at the last month of subscription services. Tip: Capital One can spot double charges and notify you about subscription renewals.
So, turns out my monthly subscription spending looks like this:
Recreational (i.e. they entertain me, but aren’t necessary):
- Music streaming platform: $10.00
- Do I want to keep this? Music keeps me entertained during my workouts, and my workouts are positive for my mental and physical health.
- News subscription platform: $10.00
- Do I want to keep this? I find that I spend less time worrying about misinformation when I have a dedicated & trusted news platform.
- Digital content streaming: $10.00
- Do I want to keep this? Especially during the colder months, digital content streaming keeps me entertained.
Business (i.e. I need these to run my operations)
- Premium cloud storage: $4.00
- Do I want to keep this? For a small sum of money, I get 200GB of storage, which I think is great value.
- Suite of editing tools: $45.00
- Do I want to keep this? While I wish my editing suites cost less, the reality is that they’re pricey. However, I need these to effectively run my business.
- Website maintenance: $7.00
- Do I want to keep this? I need this to effectively run my business.
The biggest benefit I received from running a financial checkup was the total amount spent per month: $86.00! Personally, I wouldn’t want to increase that amount by more than $10 in 2020. At this current point, I can afford to spend $86.00 each month on subscription services, based on the value I’m receiving from their services.
However, if you run your own checkup and find subscriptions that you don’t need anymore, consider starting (or adding to) an emergency fund. In this way, you’ll be better prepared for any unexpected events in 2020!
To learn more about Capital One’s products and tools, visit the Capital One Canada website here.