Although the average young Canadian is inclined to avoid adding a new subscription to their budget, cloud storage can be worth it – if you ask yourself the right questions beforehand, experts say.
Liam Curran, a second-year Masters in Communications student at the University of Ottawa, was faced with the dilemma a few years ago of whether or not to shell out the money for additional digital storage space.
As a user of Google devices, he had already spent years accumulating tens of gigabytes of files on Google’s platform, which automatically syncs with Google computers and phones. However, in November 2020, the platform updated its terms and conditions to limit the amount of files users could store for free.
“Thanks to Google, I had years and years of videos and photos of my family members, deceased family members, friends, birthday parties, etc. Not to mention all the school, work, and tax documents I had in my email inbox. So I decided it was worth buying some extra storage. »
In fact, the majority of online storage platforms available in the market are not likely to blow the bank account, observed Kelly Ho, Certified Financial Planner and Cash Flow Specialist.
“Most of the cloud storage options I see in people’s budgets are under $10 a month or can be included in devices or subscriptions they already own,” such as Apple’s iCloud storage for iPhone users or Microsoft OneDrive for those using the Microsoft suite.
However, Ho stresses the importance of keeping in mind that these types of “small” fees can add up over time, and cautions young Canadians in particular to be cash-conscious when adding a subscription. to their list.
“To be blunt, all of our lives are happening online now – especially for Gen Z and Y [those born since 1982] – so there will be apps and subscriptions that will be absolutely essential,” he said. She.
People are more likely to have problems if they open accounts in multiple places for the same or similar service and then forget they opened them.
It seems obvious, but forgetting is more common than you think. A survey conducted by West Monroe in 2021 found that the average consumer surveyed spent $273 per month on subscription services. However, nearly 100% of respondents were unaware of the total amount spent on subscription services.
To avoid this, Ho suggested that younger Canadians – who are already less likely than older generations to have a lot of room in their budget for non-essential expenses – start by asking themselves how much those subscriptions cost versus how well they meet their needs.
“It’s very important that we hold ourselves accountable, either by talking to a cash flow professional or just thinking it out ourselves,” she said.
Mr. Curran says he had this in mind when he decided to purchase a storage option, choosing one he was already using regularly and satisfactorily. He then waited until he absolutely needed to buy it to do so.
“It goes without saying, but I think it’s very important that young people, and students in particular, don’t buy these things until they really need them,” he says.
Mr. Curran also acknowledges that paying the small subscription fee for one account, rather than trying to “game the system” by signing up for multiple Google accounts and using the maximum free storage on each. between them, was something he saw as an investment of time rather than money.
“Of course, I could spend more time navigating between all these accounts to save a little money, but I thought about what was important to me, and for me, it was the comfort of being able to access my files quickly and easily. »
