It’s no secret that inflation has exploded over the last few years. Food prices alone have increased a whopping 29% between 2020 and 2025, with both higher prices and shrinkflation giving you less food for your dollar. Overall inflation during the same period reached 23.9% in the U.S. That can make budgeting harder than ever, especially if you want to keep up with other financial goals like saving money or paying off debt.
But you don’t have to completely overhaul your lifestyle to make up for inflation. Incorporating small changes in your spending habits can help reduce financial stress.
As you’ll see in the examples below, the compounding effort of making a few changes at the same time can make quite a difference to your budget.
In This Article
1. Enroll in gas rewards
The average American household spends about $204 per month on gas. Joining a gas rewards program can help you save money.
When you sign up, you earn points every time you make purchases in specific categories and use your loyalty card. These points can then be redeemed for savings on fuel.
Estimated savings: Each gas rewards program varies, but here’s an example. At Kroger, you can earn Fuel Points on groceries, prescriptions, and gift cards and redeem them within the month after they’re earned. The maximum discount is $1 per gallon. On a 12-gallon fill-up, that could save $12 per month, or $144 per year.
2. Close credit cards with annual fees
Even if you don’t have an interest-bearing credit card balance, your card could still cost you money. Many creditors charge an annual fee, especially large issuers. In fact, 27% of large issuers come with a fee, averaging a whopping $157 annually. Only 9.5% of small issuers charge an annual fee, which averages $94 annually.
Instead of canceling an entire credit card, ask your credit issuer to downgrade to a version without your annual fee so you can preserve your credit utilization ratio.
Estimated savings: $94 to $157 per year for each canceled card with an annual fee.
3. Schedule dining out in advance
Eating out has become more expensive, with prices jumping 4.1% in 2025, which is probably why nearly 40% of Americans dined out less in 2025 than the previous year. In the U.S., the average price for a meal at an inexpensive restaurant is $20. If eating out two times each week, an individual could easily spend $160 a month on dining out.
There’s major potential for savings by swapping out some of those meals with something easily prepared at home.
Instead of taking away the social aspect of eating at a restaurant, plan those events in advance or cap the number of times you go out each month. That way, you’re consciously spending instead of making last-minute plans that can derail your budget.
Estimated savings: If you cut your dining-out expenses in half each month, you could potentially save $80 per person. In a four-person household, that turns into an extra $320 saved monthly, or $3,840 per year.
4. Join a local “Buy Nothing” group
The Buy Nothing Project connects people in local communities to gift items without any cost or strings attached. You can download the BuyNothing app or search for local groups on social media platforms like Facebook.
From furniture to clothing and plenty in between, you can avoid spending on some items by being an active group member. Plus, you avoid paying for both the cost of the item and the sales tax.
The amount of money you can save depends on how frequently you monitor posts in your local Buy Nothing group and what items you’re seeking.
Estimated savings: It can vary, but here’s an example of women’s clothing. Average apparel spending for women in the U.S. is $655 per year. Someone who sources 25% of their clothing in a Buy Nothing group could save $163.75 annually.
5. Lower your cell phone bill
You can save money on your cell phone bill each month in a few ways, which can add up over time. For starters, check if your carrier offers an autopay discount. Verizon, for example, provides up to a $10 discount each month with paperless billing and paying with either a bank account or Verizon Visa Card.
Another way to save money is to opt for a prepaid carrier, which may offer lower plans depending on where you live.
Estimated savings: $120 a year with autopay discount. Research prepaid carriers for pricing and coverage options in your area.
6. Explore free events
The average American spends $3,609 on entertainment, which is approximately $300.75 per month. A family of four could then spend around $1,203 per month. By discovering free events in your area, you could cut that number back to soften the impact of inflation on your overall budget.
Consider swapping one weekend with a free event instead of a paid activity. Many cities have free museums, festivals, and parks that are just as fun as places that charge for admission.
Estimated savings: By cutting back entertainment costs by 25%, the average American family could save around $75 per person each month or about $900 each year.
7. Lower your subscription creep
Between streaming services, apps, and software plans, many businesses have adopted the subscription model rather than offering a one-time purchase. This means it’s easier than ever to sign up for a service and stop using it after a while. Often, you may not even realize you’re still paying for an unused subscription.
Not only are people signing up for more subscriptions, but the cost can quietly increase without noticing it. In one survey, Americans with subscriptions said they pay an average of $90 per month. Out of that, they spend $17 a month on subscriptions they don’t use.
Annually, those numbers add up to $1,080 in total and $204 spent on unused subscriptions. Consider using an app to identify all of your subscriptions. Some will even help you cancel them and charge a small percentage of your savings.
Rocket Money, for instance, is an app that identifies your subscriptions in one place. The basic app is free or you can upgrade to a premium subscription for more features.
Estimated savings: Consider cancelling your unused subscriptions, then slashing your other subscriptions by 25%. For the average American, that could save $35.35 per month, or $423 per year.
8. Adjust your HVAC temperatures
The average American household spends $1,900 per year on utilities, which amounts to $158 per month. Reduce your utility spending by implementing a tip from the U.S. Department of Energy. Here’s what they recommend.
By adjusting your thermostat by seven to 10 degrees for eight hours a day, you could save up to 10% on your bill each year. In cold months, you’d lower your thermostat and in warm months you’d increase it.
Estimated savings: This inflation-busting hack could save the average consumer around $15.83 per month or $190 per year.
9. Find extra income
With the cost of so many everyday expenses rising, it’s no surprise that the gig economy has also grown to help. In a recent survey, 45% of respondents said they have a side hustle, with over one-third saying their earnings are used to cover basic expenses.
Common side hustles include things like delivery services and ridesharing, e-commerce, selling unused items, and freelancing. But you don’t necessarily have to work more to earn more. Consider asking for a cost-of-living increase at work.
Estimated savings: On average, side hustlers earn $688 per month, which adds up to an extra $8,256 per year. Alternatively, the average cost-of-living pay is 3.5% and the median income in the U.S. was just over $62,000 in 2025. That increase would boost the median salary to $64,170.
Small wins help beat inflation
Creeping prices make it harder to stretch your budget to cover expenses and meet your savings goals. But with a few intentional changes to your spending habits, it’s possible to bridge the gap.
By adding up all the maximum savings and earnings in each of our examples above, the total annual savings comes to more than $16,000. Get inspired to start with just one or two tips and see what kind of difference it makes in your bank account.
Written by Lauren Ward
Lauren Ward is a personal finance writer who is passionate about helping people simplify their financial decisions. Her work has been featured in outlets such as USA Today Blueprint, CNN Underscored, and many more. She lives in Virginia with her husband and three children.