Should You Cancel Amazon Prime in 2023?

It could be a big source of savings, but think about what you'll be giving up.

When Amazon raised the cost of a Prime membership to $139 last year, it prompted some people to cancel that service and find other outlets for online shopping. But many loyal Prime members kept their memberships despite that price hike.

If money has gotten tight, however, then you may be inclined to cancel your Prime membership this year. Is that a good idea, though? Ask yourself these questions to find out.

1. How often do I order things on Amazon?

If you only make purchases on Amazon once every few months, then a Prime membership probably isn't worth it -- especially since you can actually score free shipping on Amazon without being a Prime member. All you have to do is rack up a $25 shopping cart, and you won't be charged for shipping. You'll have to wait a little longer for your orders to arrive, but that may not be a problem. On the other hand, if you can say with confidence that your Prime membership saves you a trip to the store at least once a month, if not more, then it may be worth keeping.

2. How much am I saving on gas?

If you live in an area where the closest retail shop is a long distance away, then a Prime membership may be partially or fully paying for itself in the form of savings on gas purchases. In fact, it's a good idea to try to estimate how much gas savings you're reaping. If you figure your credit card bills are a good $10 lower each month due to making fewer trips to the store, then you're practically paying for a year of Prime right there. And if your membership also happens to make your life easier, then it's probably worth keeping.

3. Am I taking advantage of free content?

Amazon Prime doesn't just give you access to free two-day shipping on all orders. It also gives you access to various types of free content, from movies to TV series to books to music. Now, think about the cost of paying for video and music streaming. There's some savings to be had if you get access to that content for free. So if you currently tend to use that content, it may be worth keeping Amazon for that benefit alone.

What's the right choice for you?

These days, a lot of people are buckling under the weight of inflation and trying to cut costs to the greatest extent possible. It's definitely not a bad idea to consider your different expenses carefully and find ways to trim them. 

Canceling your Prime membership absolutely makes sense this year if you truly can't afford it. But if you can afford it and you're getting good value from it, then you may want to keep it around. 

Plus, you never know what added benefits Amazon might end up tacking onto Prime memberships this year. You may find that the $139 you're paying for 12 months of Prime becomes even more worthwhile in 2023.