Cutting the cord is often seen as a sure-fire way to save money on your monthly entertainment bills. While that's often true, understanding the true financial impact can be tricky. It's not just about canceling cable; it's about figuring out the actual change to your overall spending. The key is a straightforward mathematical approach that focuses on the difference in cost, not just overall expenses. While the core principles remain timeless, the landscape of streaming services and internet pricing has definitely evolved since our initial look at this topic.
The Enduring Math of Savings
It's All About the Change
The most common mistake people make when calculating cord-cutting savings is including streaming services they already had. For example, if you're currently paying for Disney Plus, HBO Max (which is now HBO Max again, as you know), or Paramount Plus, those costs don't factor into your cord-cutting savings unless they're brand-new subscriptions you're adding specifically because you cut the cord.
Your current cable TV bill (or the portion directly attributable to TV service) is the primary expense you're aiming to eliminate. To start, you'll need to look closely at your current bill to pinpoint this exact amount.
The Evolving Cost of Streaming Entertainment
Navigating Today's Streaming Prices
Since 2021, the cost of most major streaming services has generally increased. Services like Netflix, HBO Max, Disney Plus, and Peacock have all seen price hikes. It's important to be aware of these current prices when planning your post-cord-cutting budget.
However, the market has also adapted. While individual services might be pricier, streaming bundles are becoming much more prevalent. Bundles like the Disney Bundle (which includes Disney Plus, Hulu, and ESPN Plus) or other emerging bundles that might include services like HBO Max can offer significant savings if you're interested in multiple services offered within that bundle. Many services also now offer ad-supported tiers, providing a cheaper entry point for those willing to watch commercials.
The Crucial Internet Component
Don't Forget Your Internet Bill!
This is a really critical point that often gets overlooked. Many internet service providers (ISPs) have significantly reduced or even eliminated the deep discounts they once offered for bundling internet with TV service. This means that simply dropping your TV service might not automatically lead to a substantial drop in the internet portion of your bill. In some cases, your internet-only price could even be higher than what you paid as part of a bundle.
Therefore, it's absolutely essential to contact your current ISP or check competitors to get an exact quote for an internet-only plan at your desired speed before you make the switch. This step is vital for an accurate calculation.
Your Personalized Calculation: A Step-by-Step Guide
Putting the Numbers Together
Here’s a clear, step-by-step method to figure out your actual cord-cutting costs:
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Step 1: Document Your Current TV & Internet Costs (Pre-Cord Cutting)
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List your exact monthly cable TV cost. If your bill combines TV and internet and doesn't separate them, try to get a breakdown from your provider.
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List your exact monthly internet cost (if separable, or the total bundled price if that's what you're eliminating).
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Step 2: Identify Your Post-Cord Cutting Costs
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Internet-Only Cost: Get your exact new monthly internet bill quote. This is crucial for accuracy.
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New Streaming Services: List the total monthly cost of any new streaming subscriptions you will specifically add because you cut the cord. For instance, if you dropped cable sports and now subscribe to ESPN Plus.
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Existing Streaming Services: Make a list of these (e.g., Netflix, Prime Video), but explicitly remember they do not factor into your cord-cutting savings calculation as they were already an expense.
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Other Potential Costs: Briefly consider any one-time costs like purchasing a new antenna (like your AirTV Anywhere device) for local channels, or new streaming hardware if you truly need it (though often existing devices or smart TVs suffice).
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Step 3: Calculate the Net Change
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This is where you figure out your true savings or additional cost.
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Subtract your new total monthly entertainment costs (internet-only + new streaming services + any other recurring new costs) from your old total monthly entertainment costs (cable TV cost + original internet cost). The result will show your net savings (a positive number) or an unexpected increase (a negative number).
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My Streaming Life has always been about empowering consumers to take control of their entertainment choices and their wallets. By applying this simple, mathematical approach to your personal situation, you can accurately determine your true cord-cutting cost and confidently make the switch to a more flexible and often more affordable entertainment future.
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