According to the Department of Labor, the average American family spends approximately $2,700 per year on entertainment costs.
Cut Back or Kill Cable. Cable accounts for most of that expense. Consider letting go of premium channels and you can save $35 per month ($420 per year). Do away with cable and you’ll save about $105 per month ($1,260 a year).
Stream and Watch Online. Understandably, most people can’t live without cable, but don’t feel as though you have to do without entertainment. Subscribing to Netflix for $4.99 a month to watch TV shows and movies or Hulu Plus for $7.99 a month for unlimited streaming helps keep you current with your favorite TV shows and current movie releases.
Borrow and Trade. Consider swapping books, games, music and movies you already own with family and friends. Head to your local library to read the paper, your favorite magazine or even listen to a CD. Most libraries also allow you to sign up to use Internet-ready computers. Get a library card and borrow books, games and movies for free. (Just don’t rack up late fees!)