The Subscription Spider Web
Every company wants your money. It's like death by 1,000 cuts.
While on the train the other day, I came across an ad for a company that allows you to rent their furniture. Think Rent-A-Center, but for more trendy pieces. For X-dollars a month, you can have a swanky sofa, with accented end tables, lamps, and statement coffee table to light up your room. You can deck out your entire home, with different combinations to fit your needs. I can see this would appeal to nomads who may move from city to city every so often, or for someone who really wants to own an item over time. For every monthly payment you make, you get closer to owning the furniture (thus making it rent to own). This trendy service prompted me to write since it feels like there are so many services out there that want you to pay monthly. We then ask where has all of our money gone at the end of the month. I think it's time we choose wisely which subscription services we need versus the ones we want.
A Whole Lotta This and That
Review the list below and write down (or take mental notes) of the services you own.
- Streaming services: Netflix, Hulu, Apple TV, Amazon Prime Video, HBO Max, Peacock, ESPN+, Disney+, Discovery+, Paramount+
- Internet Cable: Sling TV, YouTube TV, Fubo TV, Hulu Live TV, AT&T TVNow
- Music: Apple Music, Spotify, Pandora, Tidal
Do you also have a monthly “subscription box” for:
- Groceries, prepped meals, snacks, men’s/women’s hygiene, child care, animal care, clothes, shoes, collectibles, books, wine & alcohol, makeup, international goods, health & wellness, plants/garden, art, or anything else.
- Here is a list of 57 of subscription boxes (way too many).
Let’s also not forget that you can finance items purchased in multiple monthly payments. Want what new exercise bike, “total gym”, furniture, and et cetera? No problem, there are companies out there that make it convenient for you in four or more monthly payments.
The problem lies in when you fancy more things than you can handle and get charged each month for it all. Trust me, it’s hard enough having to keep up with your actual bills alongside all of these services when they charge on different dates.
Example: if you were subscribed to Netflix($15), YouTube TV ($70), Apple Music ($10), Disney+ ($8), Home Chef ($60), Winc ($60), and financing a Peloton Bike ($1900, $49/month for 39 months) — that’s $272 a month going towards these services! Let this example serve as notice if you may not have the money in your budget after paying your bills, having gas in the car, keeping everyone fed, and saving for retirement.
Solutions to the Spider Web
- Take the time on your own (or with your loved ones) to decide on the subscriptions that you really need the most. You may need Netflix and Disney+ if you have kids (I feel for the parents out there), whereas a clothing or wine subscription can wait.
- Skip a month, or cancel then return. A lot of services provide little to no long-term commitment. Use that to your advantage if you want to watch Netflix for a couple of months, and then cancel it to hop on another streamer to binge your other favorites. Perhaps she gets her “subscription box” one month, and he gets one on the next.
- Mooch off someone else’s subscription (but ask nicely first). I once had six different people using my Netflix account (probably because I am a nice guy). I previously used an HBO Go login from one of my homies from college to binge Game of Thrones. Use your social circle if you want something, and be generous to share in return.
- Companies (sometimes) do right by their fans/customers, but their priority will always be profit. Their financial bottom line is what matters most and will advertise you to death to get you to purchase anything. Purchase and use the things you want with no peer pressure.
- Do research for what you want before making an instant decision. You may be able to find a similar product online to buy and own for cheaper than being locked into a payment plan. Remember that name-brand items are sometimes acquired to show off status versus their intended use.
You’re not alone if you think that you own a lot. At the time of this writing, Im subscribed to Netflix, Playstation Plus, Amazon Prime, Winc, and a few others. I gave in last week and subscribed to Disney+ (with the hope that I can binge some shows before next month’s rebill and cancel 😂). I have actively skipped Winc a few times and also forgot to do so the day before they charge me. Then, here comes four bottles of wine at my door that I didn’t really want right now. I usually give some wine away to family and friends. That reminds me, don’t forget to subscribe to your friends and family — the ones who matter the most. They serve as your lifetime commitment and you can’t cancel them anytime…Okay fine, sometimes you have to cancel friends, but you get my point.
Disclaimer: I am not a professional financial advisor and this article is opinion-based. Always do your due diligence and seek a professional for guidance.
