Simple Tricks To Save Serious Money On Your Internet Bill

For a majority of Americans today, internet access is an essential part of the household budget. Consider, according to the U.S. National Telecommunications and Information Association (NTIA), 83% of people in the United States, aged 3 and older, were using the internet in 2023, an increase of 3% from 2021. Further, the NTIA found that the number of U.S. households without internet at all was also decreasing, with only 12% comprising this category in 2023 (compared to 14% in 2021).

As for how much Americans pay for the internet on average, that would be around $65 a month, according to a 2022 Forbes Home survey. At $65 a month, that's $780 a year, but as said, the internet isn't exactly a service you can just remove from your budget, considering we use the internet for everything from work to school to entertainment and communication. So, in other words, it's a monthly bill we need to account for. However, given that $65 is the average, that means some of us pay less — and some pay more. Let's take a look now at some ways consumers can save a bit each month on their internet bill.

One way to save on your internet is to look into bundles. To stay ahead of the competition these days, internet service providers (ISPs) offer service bundles that combine the internet with other services, like cable or phone, usually at discounted rates. This option merges your services under one provider, saving time and (presumably) money otherwise spent on each service separately. (See ways to save on your phone bill.)

In addition, it's prudent to regularly review your internet plan, as well as to call your provider to negotiate your internet bill, especially if you're considering moving and you're a longtime customer. Talking with your internet service provider directly can oftentimes lead to opportunities to save, such as through bundles, special rates, promotional discounts, or competitive price-matching.

One aspect of most internet bills is the equipment rental fee, for use of a modem and/or router. A way around this charge is to simply buy your own equipment. While the upfront cost can range from $50 to $350 (and less than $200 on average), this one-time expense can prove more cost-effective in the long run when compared to ongoing rental fees, which average $10 to $15 a month, depending on the ISP. In one year alone, that's $120 to $180 saved. (Check out how much you should really pay for high-speed internet.)

Also, you may be presently paying for more internet speed that you actually need. To return to Forbes' survey, the outlet says the average monthly cost for an internet download speed of 25 Mbps is $35, while a download speed of 100 Mbps will cost $62 a month, and $85 if you need a speed of 1,000 Mbps (note that the number of devices you're using will matter as well).

When reviewing your internet bill, start by assessing what you use the internet for. Calculating how much internet speed you actually need can help you when discussing or comparing plan options. If you primarily use Wi-Fi to browse the internet, for example, you may not realize this, but you only need 5 Mbps. (Learn about what vampire energy is.)

Consumer Reports offers a simple calculator to figure out how fast your internet needs to be. It lists eight common uses of the internet in a home, including web browsing, editing documents, and streaming. You can then select how many devices you have, and what you use those devices for. Consider, for social media/web browsing (5 Mbps), streaming 4K video (25 Mbps), and group calls (4 Mbps), you'd need a download speed of 34 Mbps, which means your internet bill could be between $35 and $62 a month, a potential savings of ~$35 a month if you were perhaps paying for a download speed of 1,000 Mbps.