Full disclosure: I am a proud affiliate, meaning if you click a link and make a purchase, I may earn a commission at no extra cost to you. My recommendations are based on deep experience with and knowledge of the products I mention and I recommend products only when they are genuinely helpful and useful, not because of the small commissions I may receive. Please don’t spend any money on products I recommend unless you genuinely believe they will help you achieve your goals.

In today’s age of endless streaming options, the question “Netflix: Is it worth it?” is more relevant than ever. 

With a plethora of services vying for your attention (and your hard-earned cash!), navigating the world of streaming can feel overwhelming.

The world has come a long way since the golden age of cable, and while it’s nice to have the ability to choose, the seemingly endless choices can make it difficult to keep your monthly subscriptions to a minimum.

By all means, spend your hard-earned cash on the entertainment options that make sense for you. But be cautious about trying to maintain all of it every month. Before long, you may find yourself spending far more than you budgeted for.

So if you’re ready to stop wasting money on subscription services and want an answer to the “Netflix: is it worth it?” question, then keep reading on. This guide will help you make an informed decision about whether or not you should maintain a Netflix subscription, while also providing you with a framework you can use to evaluate other subscription services.

The Big Five: A Streaming Showdown

As you likely know, Netflix isn’t the only player on the streaming field. Here’s a quick comparison of some major contenders, alongside Netflix:

1. Amazon Prime: Videos Beyond Shipping

Boasting a vast library of movies and TV shows, fast shipping benefits, and access to music streaming, Prime offers a compelling all-in-one package. However, the yearly membership fee might discourage you from subscribing if you’re solely interested in video content.

2. Disney+ and Hulu: Family and Range

This Disney-owned duo offers a powerful combination. Disney+ dazzles with family-friendly content and exclusive Star Wars/Marvel titles, while Hulu provides a broader range of TV shows and original content. You can subscribe to one or the other, but adding both adds to the cost.

3. Peacock: A Newer Alternative

This free (with ads) or premium (ad-free) service from NBCUniversal boasts a strong selection of classic sitcoms, original content, and next-day access to current NBC shows. A slightly newer and cheaper contender, the library size pales in comparison to Netflix.

4. HBO Max: A Premium Provider

Home to critically acclaimed HBO originals, iconic sitcoms like “Friends,” and the entire Warner Bros. film library, HBO Max caters to a more mature audience. On the downside, the subscription cost is higher than most of its competitors.

5. Netflix: Is It Worth It?

Unless streaming is an entirely new concept to you, you’re probably already familiar with Netflix. Famed for its wide selection and frequently refreshed material, Netflix is arguably the streaming service to beat in the streaming wars.

The 5 Pillars of Streaming Savvy

Now that we’ve established the competition, let’s delve into the key factors that should guide your decision:

1. Personal Situation

• Do you have a family with diverse viewing preferences? Hulu might be a good fit. 
• Crave classic sitcoms? Peacock could be your jam!
• Do you need kid-friendly content? Disney+ excels in this area.
• Are you a movie buff? For cinephiles, HBO Max boasts a robust film library.

You’ll also want to consider your budget. Netflix offers multiple pricing tiers, while Amazon Prime bundles streaming with other perks (like free shipping) for a potentially better value.

2. Security and Savings

Consider the monthly cost of each service and weigh it against your budget. If available to you, take advantage of discounts. You might also be able to bundle subscriptions for a better deal (like Disney+ and Hulu).

• Sharing is caring (or not)? Sharing passwords with friends and family can save money, but some services (like Netflix) are cracking down on this practice. Factor in the potential cost of additional accounts.
• Free trials and bundles: Take advantage of free trial periods to test-drive services before committing. Explore bundles that combine streaming with other subscriptions you already use (like internet or phone plans) for potential savings.

3. Long-term Entertainment Usage

How many hours per week do you typically spend streaming? Do you favor original content, classic movies, or a specific genre? Choose the service with the content library that aligns with your viewing habits.

• Binge Watcher or Casual Viewer? If you devour shows in one weekend, a service with a smaller library might not be ideal. If you like to binge, then Netflix might be more your style, whereas a casual viewer might not mind a cheaper alternative like Peacock.
• Content Refresh: Consider how often a service adds new content to keep you engaged. Netflix is usually top of mind when it comes to fresh streaming content.
• Originals vs. Acquisitions: Do you prioritize exclusive content or a wider selection of licensed movies and shows? Amazon Prime has a wide selection of licensed movies and shows, whereas Netflix is once again the streaming service to beat when it comes to exclusive content.

4. Expected Frequency/Use

Will you be glued to the screen nightly or just on weekends?  Some services offer binge-worthy content, while others cater to more casual viewers.

• Daily Dose or Weekend Splurge? Honestly evaluate how often you’ll use the subscription.
• On-the-Go Viewing: Does the service offer seamless mobile or tablet viewing for entertainment on the move? Some streaming providers allow unlimited tablet usage, where others have limits, so ensure your subscription will adequately meet your needs. Netflix is cracking down and making it harder for large families to use multiple devices. So if this is a must-have for you, you might answer “no” to the “Netflix: is it worth it?” question.

5. Flexibility

Do you need the freedom to pause or cancel your subscription when life gets busy? Check each service’s policy on cancellation and on-hold options.

• Cancellation concerns: If you’re constantly on the go and go through long periods without watching anything, you may want to choose a streaming service with easy cancellation options to avoid unwanted charges.
• Subscription Hibernation: Some services allow you to pause your subscription for a set period, perfect for times when you won’t be using it much.

How to Stop Wasting Money on Subscriptions

Take a realistic assessment of your streaming usage using the criteria above, and trim anything that doesn’t meet your needs.

Ideally, commit to one or just a few services to keep your monthly payment to a minimum.

Personally, I like to rotate through streaming services as it makes sense. 

For example, my household enjoys watching House of the Dragon, but we decided to wait until every episode was available before we subscribed to HBO Max. We’ve since canceled our subscription, but will likely resubscribe when every episode from the next season comes out.

I had a temporary Hulu subscription when I was watching The Handsmaid’s Tale. I’ve since stopped watching the show and canceled my Hulu subscription. I’ll resubscribe if and when something interesting comes up, but I might put my Netflix subscription on hold in that case. 

Rotating through streaming services is a good way to get a variety of content as new material becomes available, and as your interests change over time.

So, Netflix… Is It Worth It?

As a current Netflix subscriber, I can confidently say it offers a strong library of original content, classic movies, and TV shows. It also caters to a wide range of interests. Netflix also has flexible and affordable pricing options compared to some competitors.

However, the ultimate answer to “Netflix: Is it worth it?” lies with you.

By considering the factors above and exploring the various streaming options available, you can make an informed decision that maximizes your entertainment value and minimizes wasted spending.  

Ultimately, there’s no one-size-fits-all answer. It’s all about finding the service (or combination of services!) that perfectly complements your unique needs and viewing habits. Happy streaming!

Have a question or want to learn more? Leave a comment below!

Now that you’ve learned how to answer the “Netflix: is it worth it?” question, you might be wondering how else you can FIRE Your Career. Check out the posts page for more ways you can FIRE Your Career and achieve financial freedom.

FIRE Your Career: Achieve Financial Freedom Through Your Career & Spend MORE Time Doing What You Love.

Resources I Frequently Recommend:

Strengths Finder (book to help you uncover your innate strengths, includes a free personality quiz)

ClickUp (my recommended goal-tracking and project-management tool)

Rich Dad, Poor Dad (a great intro to financial freedom book)

Strengths Finder (book to help you uncover your innate strengths, includes a free personality quiz)

The Bogleheads’ Guide to Investing (a great intro to investing book)

Others: 16 Books I Recommend to FIRE Your Career