Cord cutting means canceling cable or satellite TV and switching to streaming services. Most people pay $100-150 per month for cable. That’s $1,200-1,800 per year for content you can get free or much cheaper through streaming.
The price gap is massive. Cable companies charge premium prices while free streaming services like Pluto TV, Tubi, and Amazon Prime Video deliver thousands of shows and movies at zero cost.
The average cable bill costs $120 monthly. Our recommended free streaming setup costs $0 per month. Even if you add one paid service like Netflix at $7-15, you save $105-113 monthly or $1,260-1,356 yearly.
This guide shows you exactly how to cut the cord and keep the content you want.
What Cord Cutting Actually Means
Cord cutting definition: Canceling cable or satellite TV service and using internet-based streaming instead.
What you keep:
- Your internet connection (required for streaming)
- Access to thousands of shows and movies
- Live TV options through free services
- News, sports, and entertainment content
What you lose:
- $100+ monthly cable bills
- Bundled services you never watch
- Complex channel packages
- Rental fees for cable boxes
Real-World Price Breakdown:
Traditional Cable:
- Base package: $80-100/month
- HD DVR box rental: $15-20/month
- Additional boxes: $10 each
- Broadcast TV fee: $10-15/month
- Regional sports fee: $10-15/month
- Total: $120-150/month or $1,440-1,800/year
Cord Cutting Setup:
- Free streaming services: $0/month
- Optional paid service (Netflix, Disney+): $7-23/month
- Total: $0-23/month or $0-276/year
- Savings: $97-150/month or $1,164-1,800/year
Best Free Streaming Services for Cord Cutting
Pluto TV – Best Overall Free Service
What you get:
- 250+ live TV channels
- Thousands of on-demand movies and shows
- News, sports, entertainment, kids content
- Works on any device
Cost: $0/month
Why this offers value: Cable companies charge $100+ for similar channel counts. Pluto TV delivers comparable content free with ads.
Tubi – Largest Free Library
What you get:
- 50,000+ movies and TV episodes
- Current and classic content
- New additions weekly
- No subscription required
Cost: $0/month
Why this offers value: Netflix charges $7-23/month for similar catalog size. Tubi provides it free with occasional ads.
Amazon Prime Video (Free Tier) – Premium Content Free
What you get:
- Thousands of movies and TV shows
- Ad-supported content (no subscription required)
- Some Amazon Original programming
- Access without Prime membership
Cost: $0/month
Why this offers value: Amazon offers premium content free with ads. You don’t need a Prime membership to watch free content on Prime Video.
YouTube – Unlimited Free Video
What you get:
- Unlimited creator content
- News channels live
- Sports highlights and full games
- Educational content
- Music videos
Cost: $0/month (or $13.99/month ad-free with YouTube Premium)
Why this offers value: Traditional TV charges for content. YouTube delivers billions of videos free or ad-free for less than one streaming service.
When Paid Services Make Sense After Cord Cutting
Not all streaming costs are wasteful. Some paid services deliver real value if you actually use them.
Netflix ($6.99-$22.99/month) – Three tiers available:
- Standard with ads: $6.99/month
- Standard: $15.49/month
- Premium (4K): $22.99/month
Worth it if you watch their originals regularly and share with family.
Disney+ ($9.99-$15.99/month) – Two tiers:
- With ads: $9.99/month
- Ad-free: $15.99/month
Excellent value for families with kids. Entire Disney, Pixar, Marvel, Star Wars catalog.
Amazon Prime Video (included with Prime) – Already included if you use Prime for shipping. Extensive library at no extra cost.
The difference: Paying $17-39 monthly for services you actually use beats paying $120+ for cable channels you never watch.
Total streaming cost with these three: $16.98-$38.98/month Savings vs cable: $81.02-$103.02/month or $972-$1,236/year
What Equipment You Need for Cord Cutting
Streaming Device Options:
Roku Streaming Stick ($20-30)
- Connects to any TV
- Access to all major streaming apps
- Simple remote control
- One-time cost, no monthly fees
Amazon Fire TV Stick ($30-50)
- Similar to Roku
- Alexa voice control
- Good for Amazon Prime users
- One-time cost
Google TV Streamer ($75)
- Google integration
- Voice search
- Clean interface
- One-time cost
Your existing devices work too:
- Smart TV apps (most TVs from 2018+ have built-in apps)
- Game consoles (PlayStation, Xbox)
- Computers connected to TV
Equipment investment: $0-50 one-time cost vs $15-20/month cable box rental ($180-240/year)
Live TV Options After Cord Cutting
Free live TV options:
Pluto TV – 250+ live channels including news, sports, movies
Local News Apps – Most local stations have free apps with live streams
Network Apps – NBC, ABC, CBS, Fox offer limited free streaming
YouTube – Many news channels stream live 24/7
Paid live TV options (if needed):
YouTube TV ($82.99/month) – Full cable replacement with 100+ channels and unlimited DVR
Hulu + Live TV ($82.99/month) – Similar to YouTube TV with Hulu library included
Sling TV ($40-$55/month) – Cheaper option with customizable channel packages
The choice: Free options cover most needs. Paid live TV still costs less than cable but evaluate if you actually need it.
Self-Hosted Streaming (Advanced)
For tech-comfortable users, hosting your own streaming server gives complete control.
- Store your own video library
- Stream to any device anywhere
- No subscription required
- Complete privacy
What you need:
- Computer or NAS device to run server
- Storage space for video files
- Your own legal video content
- Basic technical setup skills
Cost comparison:
- Used mini PC: $100-200 one-time
- Hard drives for storage: $50-100
- Electricity: $5-10/month
- Total: Under $300 setup, minimal ongoing cost
This is optional. Most people get everything they need from free streaming services. Self-hosting works if you want complete control and have technical interest.
Setup resources: YouTube has excellent beginner guides for both Plex and Jellyfin. Search “Plex setup guide 2025” or “Jellyfin beginner tutorial” for step-by-step instructions. Most guides run 10-15 minutes and cover everything needed.
How to Actually Cut the Cord
Test Free Services – Week 1
- Install Pluto TV, Tubi, and Prime Video
- Watch content for one week
- Track what you actually miss from cable
- Keep cable active during testing
Evaluate Needs – Week 2
- List shows you couldn’t find free
- Check if paid services offer them
- Decide if any paid subscriptions are worth it
- Calculate your new monthly cost
Equipment Setup – Week 3
- Order streaming device if needed ($30-50)
- Set up all free service apps
- Add any paid services you want
- Test everything works properly
Cancel Cable – Week 4
- Call cable company to cancel TV service
- Return cable boxes (avoid unreturned equipment fees)
- Keep internet service only
- Start saving $100+ monthly
Important: Cancel TV only, not internet. Streaming requires internet connection.
Common Cord Cutting Concerns Addressed
“What about sports?” YouTube, Pluto TV, and local channel apps cover most sports free. ESPN and Fox Sports have free apps with highlights and some live content. For comprehensive sports, YouTube TV ($82.99) still costs less than cable.
“What about news?” Every major news network streams free on YouTube. Local news stations have free apps. Pluto TV includes 24/7 news channels. You get more news options free than cable provided.
“What about my favorite shows?” Check if they’re on free services first. Most older shows are. For current shows, one $7-16 streaming subscription still saves $104-113 monthly vs cable.
“Is internet alone more expensive?” Some providers charge more for internet without cable bundles. Even with a $20 increase, you save $80+ monthly. Ask your provider about internet-only pricing before canceling.
“What if I don’t like it?” You can always go back to cable. Test free services for a month before canceling. Most people find they don’t miss cable once they see what’s available free.
The Simple Finance Bottom Line on Cord Cutting
Cutting the cord saves real money:
- Save $97-150 compared to cable TV
- Save $1,164-1,800 per year
- Get thousands of shows and movies through free services
- Keep sports, news, and entertainment without cable costs
- Own equipment outright – no rental fees
- Watch on any device – more flexibility than cable
- Add paid services only if you use them – no forced bundles
- Free up money for emergency funds, debt payoff, or investing
The cable industry wants you believing you need their bundles and channels. You don’t. Free streaming services deliver more content than you can watch.
If you want Netflix or Disney+, add them. But start with free services and only pay for what you actually use. Don’t let cable companies charge you $100+ for content you can get free.
Free streaming works. Cable bills don’t.
Ready to save $1,164+ yearly? Start with these free services today:
- Pluto TV: pluto.tv
- Tubi: tubitv.com
- Prime Video Free: primevideo.com (select free content)
- YouTube: youtube.com
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