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How much can you save by canceling cable and only using streaming services? Infographic
How much can you save by canceling cable and only using streaming services?
Canceling cable and switching exclusively to streaming services can save you between $50 to $100 per month, depending on your current cable bill and choice of streaming platforms. Streaming services offer flexible subscription options without the additional fees and equipment rentals typically associated with cable. Over a year, these savings can add up to $600 to $1,200, making streaming a cost-effective alternative.
Introduction: The Rise of Cable Cutting
The rise of cable cutting reflects a significant shift in how viewers consume entertainment. With streaming services becoming more affordable and flexible, many are reconsidering traditional cable subscriptions.
- Cost Savings - Canceling cable can save an average household $50 to $100 per month on entertainment expenses.
- Content Variety - Streaming platforms offer thousands of titles, often surpassing cable's limited channel lineup.
- Customization - You can select streaming services tailored to your preferences, avoiding paying for unwanted channels.
Understanding the Costs of Traditional Cable
Cancelling traditional cable can lead to significant monthly savings. Understanding the costs of cable helps clarify how streaming services offer a budget-friendly alternative.
- High monthly fees - The average cable bill in the US exceeds $100, often including hidden equipment rental and service fees.
- Bundled packages - Cable providers charge for large bundles, many channels remain unused, increasing unnecessary expenses.
- Price increases - Cable companies frequently raise subscription prices annually, making budgeting unpredictable.
How Streaming Services Save You Money
Canceling cable and switching to streaming services can significantly reduce your monthly entertainment expenses. On average, cable subscriptions cost around $100 per month, while streaming services range between $6 to $15 each.
Using multiple streaming platforms instead of cable allows for personalized viewing at a fraction of the cost. Over a year, this change can result in savings of $500 to $1,200, depending on your chosen services.
Subscription Models: Flexible and Affordable
Cancelling cable and switching solely to streaming services can save you a significant amount on monthly entertainment costs. Streaming platforms offer more flexible and affordable subscription models compared to traditional cable packages.
Most streaming services charge between $5 to $15 per month, allowing you to customize your subscriptions based on your viewing preferences. In contrast, cable bills often exceed $70 monthly with bundled channels you may not watch. This flexibility enables better budget management and access to a variety of content without unnecessary expenses.
Hidden Fees: Cable vs. Streaming
How much can you save by canceling cable and only using streaming services? Cable subscriptions often include hidden fees such as equipment rental, regional sports surcharges, and service taxes that increase the monthly bill. Streaming services typically charge a flat rate without additional fees, making it easier to predict and control entertainment expenses.
Customizing Your Entertainment Budget
| Entertainment Option | Average Monthly Cost | Annual Cost | Cost Savings Compared to Cable |
|---|---|---|---|
| Cable TV Subscription | $100 | $1,200 | -- |
| Streaming Service A (e.g., Netflix) | $15 | $180 | $780 - $1,020 |
| Streaming Service B (e.g., Hulu) | $12 | $144 | |
| Streaming Service C (e.g., Disney+) | $8 | $96 | |
| Custom Streaming Bundle (2-3 services) | $20 - $35 | $240 - $420 | $780 - $960 |
Customizing your entertainment budget by canceling cable and choosing a mix of streaming services can save you between $780 and $1,020 annually. Selecting only the services you actually watch allows for maximum savings while still accessing a wide range of content tailored to your preferences.
Additional Savings Beyond the Monthly Bill
Cutting cable and switching exclusively to streaming services can significantly reduce your regular expenses. Savings extend far beyond just the monthly subscription fees, impacting various other costs as well.
- Lower Equipment Costs - Removing cable eliminates the need for expensive cable boxes and rental fees.
- Reduced Energy Consumption - Streaming devices generally use less power compared to traditional cable equipment.
- Fewer Hidden Fees - Streaming services typically avoid additional charges common with cable, such as service fees and equipment maintenance.
These additional savings make streaming a more economical choice in the long run.
Evaluating Streaming Bundles and Discounts
Cancelling cable service and switching to streaming platforms can save an average household between $50 and $100 per month. Evaluating streaming bundles like Netflix, Hulu, and Disney+ often reveals combined discounts that reduce overall costs by up to 30%. Taking advantage of promotional offers and annual subscription plans further maximizes savings while maintaining diverse entertainment options.
Real-Life Savings: Case Studies and Examples
Cutting the cord by canceling cable can save you an average of $50 to $100 per month, depending on your current cable plan and chosen streaming services. For example, one family reduced their monthly entertainment costs from $150 to $30 after switching to Netflix, Hulu, and Disney+. Another case study showed a single professional saving over $900 annually by replacing cable with a combination of YouTube TV and Amazon Prime Video subscriptions.
Tips to Maximize Your Streaming Savings
Cable TV subscriptions often cost between $70 to $150 per month, while streaming services typically range from $5 to $20 each. Choosing a few key streaming platforms can dramatically lower your monthly entertainment expenses.
To maximize your streaming savings, consider sharing accounts with family or friends, as many services allow multiple users under one subscription. Take advantage of free trials and promotional offers to explore different platforms before committing.
Related Important Terms
Cord-cutting savings
Cord-cutting by canceling cable and switching solely to streaming services can save an average household approximately $500 to $1,200 annually, depending on service selections and subscription bundles. Streaming platforms like Netflix, Hulu, and Disney+ typically cost between $6 and $15 per month each, significantly less than the average cable bill of $100 or more monthly.
Streaming-only budget
Canceling cable and switching exclusively to streaming services can save an average of $70 to $100 per month, with streaming-only budgets typically ranging from $15 to $50 monthly depending on the chosen platforms and subscription tiers. Popular services like Netflix, Disney+, and Hulu offer affordable packages, enabling households to significantly reduce entertainment expenses compared to traditional cable bills averaging over $150 monthly.
Cable replacement value
Canceling cable and switching exclusively to streaming services can save the average household approximately $50 to $100 per month, translating to $600 to $1,200 annually. With most streaming platforms priced between $5 and $20 per month, this cable replacement strategy offers significant cost efficiency while providing access to diverse content libraries.
OTT (Over-the-top) price gap
Canceling cable and switching solely to OTT streaming services can save households an average of $50 to $100 per month, with OTT platforms typically costing between $10 and $20 each compared to cable bundles that often exceed $100 monthly. This significant price gap highlights the affordability of streaming services like Netflix, Hulu, and Disney+, which offer diverse content at fraction of the cable fees.
Subscription stack costs
Canceling cable and switching exclusively to streaming services can save an average household between $50 and $100 per month, depending on the number of subscriptions stacked; typical cable bills range from $70 to $150 monthly, while most popular streaming subscriptions cost between $6 and $20 each. Managing a subscription stack carefully by selecting essential streaming platforms like Netflix, Hulu, or Disney+ can reduce entertainment expenses without sacrificing content variety.
Digital bundle analysis
Canceling cable TV and switching exclusively to digital streaming services can save an average consumer between $50 and $100 per month, depending on the selected bundle, with streaming packages like Netflix, Hulu, and Disney+ typically costing $15 to $25 each monthly. Analyzing digital bundle options reveals cost efficiency through customizable plans and the elimination of fees such as equipment rental, regional sports networks, and premium channel add-ons common in traditional cable packages.
Streaming service break-even
Cutting cable and switching exclusively to streaming services can save an average household between $50 to $100 monthly, with many streaming subscriptions costing $10 to $20 each, making it feasible to break even or save money by selecting a few key platforms. Evaluating the cost of popular streaming options like Netflix, Hulu, and Disney+ against typical cable bills reveals a break-even point usually within one or two subscriptions, depending on viewing habits and content preferences.
Hidden streaming fees
Canceling cable and switching exclusively to streaming services can save consumers an average of $50 to $100 per month, but hidden streaming fees like device rentals, additional content packages, and regional taxes often reduce these savings. Awareness of these extra charges is crucial to accurately assess the true cost of streaming compared to traditional cable subscriptions.
A la carte content spending
Canceling cable and switching to a la carte streaming services can save an average household around $50 to $100 per month by paying only for selected content rather than bundled packages. Choosing specific streaming subscriptions like Netflix, Hulu, or Disney+ allows consumers to tailor entertainment expenses, reducing unnecessary spending on channels they never watch.
Legacy cable downgrade
Canceling legacy cable subscriptions and switching exclusively to streaming services can save an average household approximately $60 to $100 per month, translating to $720 to $1,200 annually. This cost reduction stems from eliminating fees tied to cable boxes, equipment rentals, and premium channel bundles, while streaming platforms typically offer flexible, lower-cost subscription options.