How would it be if you could shave more than $7,000 off your bills this year? It might mean you could afford a holiday, buy a new home, or make a serious dent in the mortgage repayments.
Sorting out the household finances for the new year can seem daunting, but the experts from consumer advisory service Choice have looked through their research and put together a few simple tips that could help you save thousands.
“Saving money doesn’t always have to be a grind”, says Editorial Director, Mark Serrels.
“Simply switching your health insurance provider or spreading your weekly shop across different supermarkets could save you a significant amount of cash.”
Here are six ways to save more than $7,200 this year:
1. Turn off at the power point – save up to $240 a year
A national survey showed that in September 2023, 85% of Australians were concerned about electricity costs. Yet we tend to forget that there are several appliances around the house that cost money even when we think they’re turned off.
“Printers and wireless routers are known to be big energy hogs”, Serrels says. “By turning them off at the power point, you will ensure you’re not wasting unnecessary money.”
2. Switch health insurance provider – save up to $1,730 a year
When the experts at Choice compare policies across 46 health funds, they often see significant savings on offer for consumers who shop around. What’s more, the same cover with a different insurer can be hundreds of dollars cheaper.
“Whether you have Gold, Silver or a Bronze policy, you’ll likely be able to find a cheaper deal that will give you the same amount of cover,” says Serrels.
3. Change up laundry habits – save up to $970 a year
Serrels suggests that by washing a full load of clothes on a cold cycle rather than small loads in warm water, plus switching to a cheaper (but just as effective) detergent and using less of it, you could save about $440.
“If you want to cut your costs even further, try ditching fabric softener to save about $76 per year. Line drying your clothes could also save you nearly $450 a year”, he adds.
4. Get smart with beverages, save up to $2,350 a year
Who doesn’t love coffee from a barista? But if you’re hoping to make big savings in 2024, that indulgence might have to go.
“We compared the cost of making your coffee at home versus buying coffee from a café”, Serrels says. “Making your coffee at home, including the costs for buying the machine, ingredients and upkeep, would cost around $1,284 for two cups daily over a year.
“The same amount from a cafe could cost around $3,504 – saving you $2,200 by making your own at home,” says Serrels.
Likewise, making your own sparkling water at home using a soda maker could also save you $150 a year when compared to purchasing bottles from the supermarket.
5. Change energy provider, save around $285.50 a year
“Energy retailers love to lure us in with cheaper rates, knowing we’ll usually stick with them even when prices increase to avoid the hassle of switching”, Serrels says.
“Luckily, CHOICE has partnered with BillHero to make it easier for you to find a better deal on your energy bills. A BillHero annual subscription will cost between $49 and $79, with the average first switch saving being $350 – meaning you could save between $271 and $300”, he adds.
6. Spread the weekly shop, save around $1,664 a year
Doing the weekly shop at one supermarket might be convenient, but could cost you at the checkout.
In fact, Choice research has found that you can save up to 20% on your groceries if you shop around to find the best deals.
“If you’re lucky enough to have a few supermarkets in a nearby shopping centre, it’s worth spreading the weekly shop across different stores to reduce your grocery bill”, Serrels says.
