Ready to Tackle 2025? 9 Money Traps You Can Leave Behind This Year
Let’s kick some more financial habits to the curb. If you’ve heard that cutting back on your daily latte is the secret to affording your dream home, we both know this is a very small piece of the puzzle. The real way to spend smart is saying goodbye to the things that don’t add any value to your life.
Make this year about small, clever changes that can add up big. So, from ditching hidden fees to resisting the tempting but absolutely unnecessary splurges.
These are the 9 things you can consider stopping wasting money on in 2025. (Trust me, you won’t miss them and your wallet will thank you.)
1. ATM fees
Are you still paying ATM fees in 2025? Well, with online banking offering free withdrawals and traditional banks expanding their no-fee networks, there’s no excuse anymore. Let’s be serious, how can we fork over $3-$5 to grab our own cash? For me, it feels like tossing a coffee or a lunch into the trash.
Despite what you may think, it adds up fast. We can even talk about hundreds a year if you’re not careful. That’s why planning goes a long way, and knowing where your fee-free ATMs are and taking out cash when you find them is the best thing you can do.
Another thing you can think about: if your bank doesn’t offer good options, maybe it’s time to switch. It doesn’t make any sense to pay extra just to touch the money you earned.
2. Brand-name medication
Generic medications have the same active ingredients with the same strength and, of course, the same safety standards. So, unless your doctor tells you otherwise, there is no reason to pay extra for a big brand name on a box. Think about the fact that you spend $40 on fancy advertising when the $8 version works exactly the same.
Switching to generics will save you hundreds (even thousands) a year. However, check with your pharmacist to make sure it’s the same composition, but in most cases, choosing generic is smart shopping.
3. Cable TV Subscriptions
Are you still hanging onto cable in 2025? I see it as paying for a flip phone plan when you have a smartphone in your pocket. Cable bundles are stuffed with channels you don’t watch, but the bill keeps getting annoyingly higher every year.
With streaming services such as Netflix, Disney+, or Hulu, and even free options such as Pluto TV, you can actually choose what you want to watch (for a fraction of the price). You can also bundle services and rotate subscriptions based on what you want to watch in a month.
Still paying $100+ a month for cable? Maybe you can think about cutting the cord and treating yourself to better ways of spending that cash.
4. Extended Warranties
The deal with extended warranties is that they sound comfy in the moment, but they may just turn into extra money for “just in case” scenarios that barely happen.
Most appliances, gadgets, and electronics are built to last at least through their original manufacturer’s warranty, so if something is going to break, it will most likely break early when you’re covered anyway.
By the time a product gives up the ghost, you will probably want a new and better version. Another idea, instead of buying extended coverage, is to build a small “stuff happens” fund where you can add $5-$10 a month. It will add up fast, and you’ll be ready in case something goes sideways. I like to think that freedom > fear.
5. Fast fashion
Fast fashion is the junk food of your closet. Addictive, cheap, and leaves you feeling a little worse after. Even if it’s tempting to snag trendy clothes for a few bucks, low prices usually mean low quality. The colors will most likely fade after a few washes, so you’re going to be back at the mall or scrolling online for another set.
When I realized it’s just a never-ending money pit, I started to aim for quality instead of quantity. I started to invest in timeless basics, like a great pair of jeans, solid shoes, and a classic jacket. Even if they cost a bit more upfront, you’ll wear them for years, not only weeks.
Plus, it cuts down clutter, and you stop feeding the waste-heavy fast fashion machine. Your wardrobe, wallet (and planet) will all win.
6. Bottled water
I can’t stress enough the fact that bottled water is just a big business. You can just get the same thing out of your tap. If you’re worried about the quality and taste, invest in a good filter: one for your sink, a pitcher for the fridge, and whatever fits your setup.
If you’re always on the move, snag a reusable bottle. All these moves will save you money while cutting down plastic waste. Bottled water really is one of those sneaky habits that can drain your wallet without you even realizing it. Think about every $2-$3 you skip. It adds up big over time.
You can get this FreeSip Insulated Stainless Steel Water Bottle on Amazon.
7. Premium gas for non-luxury cars
Does your car specifically say it needs premium gas? No? Great, then you don’t have to throw extra dollars into the tank. Premium sounds fancier, but for most cars, it doesn’t make any difference.
Modern engines are built to run great on regular unleaded, so using premium when it’s not needed won’t boost performance or the lifespan of your car.
This common habit is just expensive, and it has zero payoff, especially with gas prices going wild these days. Switching to regular will save you a surprising amount over the year, and your car won’t know the difference.
8. Unused Gym Membership
We know the story, and for most of us, we’ve been there. You feel ambitious, especially in the first months of the year. By April, you probably avoid eye contact with the gym membership and the building altogether.
Now, here’s the deal. It’s ok. You don’t have to pay it. There are tons of free YouTube workout channels and low-cost fitness apps, and even outdoor activities for when you really mean to move, so keep the money for that treadmill you don’t even use in your pockets.
When the gym becomes more of a guilt trip than a workout motivation, it’s time to cancel. You can always sign up later if you miss it. In the meantime, get creative with your fitness routine and save money.
9. Overpriced Online Shopping on Amazon
There is no doubt about the convenience of Amazon. The convenience tax is the one hitting harder than you think. Brand items like headphones, chargers, and even kitchen tools are marked up higher than what you’d find from the brand’s website or even other retailers.
Plus, those products with glowing reviews that turn out to be of questionable quality? Take a second to cross-check prices elsewhere before you click “Buy Now,” and you might find the same thing for half the price or even better quality for the same money.
Amazon it’s an amazing tool, but make sure you use it in your favor and not turn it into a trap.
Read next: 10 Hacks to Get FREE Things at Walmart (and Other Amazing Discounts)
