Cutting Fixed Costs Step by Step: A Checklist That Actually Works

"Take a critical look at your fixed costs" is advice everyone gives and nobody makes concrete. Here's a six-step checklist in order of impact. Per step: what you do, how long it takes, how much saving is realistic, and what goes wrong if you mess up the approach.

For most European households these six steps together save €80-€250 per month — without losing quality of life. It's one-time work, not something you do weekly.

Step 1: Compare health insurance annually (where your country allows)

Time: 30-60 minutes, once a year. Saving: €5-€35 per month per person.

Different countries have different windows. In the Netherlands, every insurer adjusts premiums between 12 November and 31 December, and you can switch for the new year by cancelling before 31 December and arranging a new policy before 1 February. In Germany the Krankenkasse switching window varies. In Belgium the CM/Helan/Solidaris comparisons happen year-round.

What you compare:

  • Base coverage: premium, mandatory excess (in NL: €385 in 2026, optionally raising to €885 for a premium discount — only if you have a buffer).
  • Supplementary coverage: does it cover things you actually use (physio, dental, glasses)? Often supplementary is NOT needed and cancelling saves €20-€40/month.

Where it goes wrong: a cheaper basic but sneakily re-subscribing to supplementary you don't need. First check if you can go without supplementary coverage.

Comparison sites show only some insurers — many offer cheaper basic plans precisely because they don't pay commission to comparison sites. Check those separately.

Step 2: Renew your energy contract every 2 years at most

Time: 20 minutes. Saving: €10-€60 per month, depending on how "default" your contract was.

Many people end up on a variable tariff because a fixed contract ran out and went automatically to "standard." That's almost always the most expensive form. A new 1- or 3-year contract is almost always cheaper.

What you do: check gas-price cap and tariffs on your country's comparison sites. Switching is one click; the new provider handles cancellation.

Where it goes wrong: switching for €10/month saving but forgetting a cashback or welcome discount you need to claim. Set a calendar reminder for month 2 or 3 to claim the cashback.

Step 3: Internet/TV — ALWAYS phone to cancel

Time: 15-30 minutes on the phone. Saving: €10-€25 per month.

Telecom providers work with retention teams. If you phone to cancel, you often get a new offer on the spot: same package for €10-€20/month less. Cancelling online rarely triggers this because there's no human retention agent in the loop.

The exact formula:

  1. Call customer service.
  2. Ask for the "cancellation" or "retention" department.
  3. Say you want to cancel because you're switching to [competitor] for €[X].
  4. Listen to the counter-offer.

Where it goes wrong: you call but don't actually mean it. Precondition: you must genuinely be willing to cancel if the retention offer is nothing. Otherwise you're not a serious negotiator.

Step 4: Subscriptions audit (the "forgotten" category)

Time: 45 minutes. Saving: €15-€80 per month.

Go through your bank statements from the past 3 months looking for recurring amounts. Write everything down: streaming, gym, apps, dating apps, cloud storage, magazine subscriptions, sports apps, language-learning apps.

Most people have €50-€120 per month of subscriptions they only actively use 2-3 of. The rest is forgotten.

Action: for each subscription, ask yourself: have I actually used this in the last 30 days? No = cancel. Don't remember whether you'll miss it; if you ever want it again, you know you can resubscribe.

Tool tip: Okidoky's subscription-audit guide walks through this step by step with a checkbox list.

Step 5: Insurance: which do you actually need?

Time: 60-90 minutes. Saving: €10-€80 per month.

Take stock of all your insurance policies and for each decide whether it still fits your situation.

Often unnecessary:

  • Funeral insurance if you already have €5,000+ in savings and someone designated to handle it (for most middle-income households, a savings pot is cheaper).
  • Cancellation insurance on every holiday (only worthwhile for expensive/non-refundable trips).
  • Comprehensive travel insurance IF you already have continuous travel insurance + credit-card insurance (double coverage doesn't mean double payout).
  • Phone insurance: the premium over 3 years often exceeds a new phone.

Usually needed:

  • Personal liability insurance (€50-€80/year, for damage to others) — keep this.
  • Home contents + home insurance as a homeowner.
  • Income-protection insurance (AOV or similar) as a freelancer.

Where it goes wrong: panic-cancelling. First check whether you really don't need a policy — cancelling a €60/year liability insurance to save €60 is not smart.

Step 6: Housing — the big but slow lever

Time: 2-4 hours one-off, or longer. Saving: €30-€300+ per month (situation-dependent).

This is the most impactful but most disruptive step. Options:

  • Renter: can a housing complaint committee lower your rent for exceeding the regulated threshold? For private landlords: check the property's point score vs. the rent charged (in the Netherlands, via the Huurcommissie, for the regulated sector).
  • Owner with mortgage: check rates — with a mortgage over €200,000 and rate differential >0.3% vs market, refinancing often pays back within 3 years. Advisor fees €2,500-€3,500 one-time; savings over remaining term can be tens of thousands.
  • Make housing more energy efficient: HR++ glass, LED lighting, smart thermostat. ROI 3-7 years, but lower energy bill from day one.

Where it goes wrong: rushing a mortgage switch with penalty interest that eats the saving. Have an independent advisor calculate whether switching now or in a year is more favourable.

Total potential

If you do all six steps seriously: €75-€280 per month for most middle-income households. For families with higher fixed costs, sometimes up to €400+.

For one weekend of work that's a wild hourly rate. The trick isn't to do everything at once but one step per month. In six months you're done — and the savings continue for years.

Use a ledger like Okidoky to see your fixed costs in one overview; then these steps are a quick check per item, not a scavenger hunt.