1. Bill-proof your home

How you prepare for warming and cooling your house will have a huge impact on how much you end up paying. Insulating your house, especially the ceiling, is an obvious one and can save up to a third of heating/cooling expenses. But about 40 per cent of homes still don’t have insulation despite the controversy of the recent stimulus scheme. Replacing your light bulbs with energy efficient, compact fluorescent ones can save you a lot.

2. Be power smart

Electric heaters are costly, so switch to gas to save money. Better yet, minimise use of your heater by closing doors, covering draughts and putting on more clothes. A second fridge is money down the drain. Turn it on only when you need it. Switching off appliances at the power point rather than leaving on stand-by can save you more than $100 a year. Doing things ‘old school’ is good for your wallet too. Forget the dryer and hang washing on clothes horses. Forget the dishwasher and wash by hand.

3. Save on hot water costs

Hot water accounts for about one third of your household energy use. Change your habits to use it in smaller amounts, and less often. Getting a low-flow shower head will help. Take advantage of government rebates for solar hot water systems and heat pump systems, which at the moment are $1000 and $600 respectively.

4. Reduce your insurance rates

Insurance bills can always be trimmed. First of all, you should do some research to check if you’re still getting a good deal compared with other competitors. Bringing home and car insurance together under one provider will cut down premiums. With home insurance, you get discounts by doing things such as installing deadlocks and smoke alarms. For car insurance, think about raising your excess to bring down premiums, and take advantage of no-claim bonuses. Always pay upfront in full rather than monthly to get a better deal. Don’t be afraid to approach your insurer and ask how you can save.

5. Phone and internet deals

Phone and internet bills can get out of hand now that there are so many options to choose from. Be careful when on a contract. You don’t want to pay a big monthly bill but only use half of your credit or allowance. Bundling together home phone, mobile and internet will save money, as will signing up for a longer contract.