Here are six things you can do to lower your internet costs
1. Buy your own modem and router
Plan to stay with an internet provider for a few years? It might be more cost-effective to buy your internet hardware rather than renting it.
Many providers charge $10 to $15 per month to rent their equipment. If you stay with that company for two years, the total rental costs would be $240 to $360. You can buy a top-rated modem and router for less than $200.
Keep in mind that some providers won’t offer support or troubleshooting for your personal hardware.
2. Reduce your internet speed
Internet providers are taking high-speed to the next level, with plans that promise download speeds of 100 Mbps or more. That’s great if you need that level of service. Most families don’t.
Dropping to a lower, more appropriate speed could reduce your monthly bill by around $26 or more, depending on your carrier. Determine what speed you need, then contact your provider to lower your plan. For example, if you’re using one to three devices for the basics like email, web browsing, music and SD video streaming, you’ll need about 10.5 Mbps. On the higher end, if you’re using 4-7 devices for higher level of services like Gaming: Email, web browsing, music and HD video streaming, and video conferencing or online gaming, you’ll need about 70 Mbps.
3. Negotiate your internet provider bill
You don’t need to be a fast-talking salesperson to play the negotiation game. Your position is simple: I know of a better deal elsewhere, and I’m prepared to leave your company to get it.
Be polite, but firm. Don’t bluff. The better you can back up your position, the more leverage you’ll have. Research the promotional prices that your provider and its competitors are offering to new customers — and be prepared to actually cancel your service and change providers.
4. Bundle your services
If you already have cable, you can save with some providers by bundling your cable and internet service. But beware of the up-sell. Carriers may try to talk you into extra speed or channels for $5 or $10 more per month. Even small monthly increases add up over time, and defeat your goal — to save money.
5. Check on government subsidies
The government offers subsidies for broadband internet if you fall below a certain income threshold or are enrolled in certain government programs. The nonprofit EveryoneOn can help you find out if you qualify.
There’s more information on the Federal Communications Commission website. If your income is at or below 135% of federal poverty guidelines or you participate in government programs such as Supplemental Nutrition Assistance Program (SNAP), Supplemental Security Income, Medicaid or others, you might qualify for a broadband subsidy.
6. Get bare-bones internet service
If you need to save money while maintaining an internet connection, you might want to downgrade to a limited-data mobile hot spot plan. For instance, you can get 1 gigabyte of data per month on a Verizon prepaid plan for $40.
These plans might be suitable for activities such as checking your email or social media a handful of times per month, but perhaps not for streaming video or gaming.
If you can trim $10 to $20 or more off your monthly internet bill, the savings could provide a great start on your emergency fund or a little more leeway in your budget.
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