Americans Would Rather Cut Back on Groceries Than Stop Their Netflix Subscription, New Study Finds

Calgary, Alberta.
Marvin Samuel Tolentino Pineda / Getty Images

With the pinch of inflation, many Americans are looking at their budgets and finding places to cut back. But there’s at least one line item not on the chopping block: streaming services.

See: Unplug These Appliances That Hike Up Your Electricity Bill
Find: 9 Bills You Should Never Put on Autopay

A poll from the National Research Group, recently reported by CNBC, found that people were more likely to cut back on grocery purchases, dining out, or buying clothes than they would be to drop Amazon Prime, Netflix or Spotify Premium subscriptions.

The survey found that two-thirds of consumers will decrease their spending due to inflation — but only 25% would cancel their streaming services.

More than half of respondents said that streaming makes up a “significant” portion of their monthly spending. It seems all the cord-cutters who disconnected cable to save money only enjoyed short-term savings. U.S. consumers estimate they spend $135 per month — or 17.8% of their budget — on subscriptions, according to the National Research Group study.

However, U.S. consumers could actually be spending even more than that. Another survey reported by CNBC discovered that 54% of those polled underestimate their monthly subscription payments by at least $100. Further, in 5% of cases, they are underestimating by $400 or more.

Make Your Money Work for You

Because monthly subscriptions are usually billed automatically, it’s easy to forget about how much money you are spending on them.  

It can help to review your services every few months and decide what you really need. You can also use a service like Rocket Money or BillCutterz to track your subscriptions and easily cancel the ones you don’t use or have forgotten about.

Take Our Poll: Are You Struggling To Keep Up With Your Utility Bills?
More: What Is the Highest Income for Food Stamps in 2022?

Don’t let sneaky subscription spending wreak havoc on your budget. You can prioritize what’s really important and maybe free up funds for the occasional dinner out — or a new fall outfit.

More From GOBankingRates

Share This Article:

Make Your Money Work for You

About the Author

Dawn Allcot is a full-time freelance writer and content marketing specialist who geeks out about finance, e-commerce, technology, and real estate. Her lengthy list of publishing credits include Bankrate, Lending Tree, and Chase Bank. She is the founder and owner of GeekTravelGuide.net, a travel, technology, and entertainment website. She lives on Long Island, New York, with a veritable menagerie that includes 2 cats, a rambunctious kitten, and three lizards of varying sizes and personalities – plus her two kids and husband. Find her on Twitter, @DawnAllcot.
Learn More