Month 10: Cutting the “Hidden” Costs

Some of our expenses are so small or automatic that we forget they exist. These “financial leaks” can add up over time. This month, we’re going on a scavenger hunt to find and plug them.

First, review your bank or credit card statement for any recurring subscriptions or memberships you no longer use. That could be a magazine, a streaming service, or a gym membership you’ve forgotten about. Even a $10-a-month subscription costs you $120 a year—money that could be in your emergency fund or sinking fund instead. Make a list and cancel at least one this month.

The second hidden cost is “phantom” energy drain. Many modern electronics use a small amount of electricity even when they are turned off, just by being plugged in. Think of your television, microwave, coffee maker, and phone chargers. While the cost for a single device is tiny, together they can add up. Get into the habit of unplugging small appliances when you’re not using them, or plug several into a power strip that you can switch off with a single flick. It’s a small change that can trim a few dollars off your electricity bill every month.