Successfully Reduce AWS Costs: 4 Powerful Ways

AWS Spot instances are a great way to reduce AWS monthly costs and optimise your expenses. By utilising Spot instances, you can significantly reduce AWS costs, making it an ideal choice for cost-conscious organisations. These EC2 instances allow you to bid for spare computing capacity at significantly lower rates compared to on-demand instances, providing a cost-effective solution. Spot instances are perfect for certain use cases, such as short running or spontaneous tasks like continuous integration build agents, enabling you to further reduce AWS costs and maximise cost savings.

When building out a solution in AWS, it is always advisable to use reserved instances to effectively reduce AWS costs. This is particularly beneficial if you’ve already gone through a Proof of Concept (PoC) stage for the solution and are now looking to deploy a long-term infrastructure. Reserved instances allow you to reduce the hourly usage rate and save on expenses by paying an upfront fee for the instance across a 1 or 3-year term. By leveraging Amazon EC2 Reserved Instances, you can enjoy substantial discounts of up to 75% compared to On-Demand pricing, further reducing your AWS costs and maximising cost-efficiency.

This is simple and straightforward. If you’re looking to reduce AWS costs, one effective approach is to turn off unused resources. By ensuring that non-critical EC2 instances are shut down when not in use, you can make significant strides in bringing down your overall AWS costs. Since EC2 instances are billed on an hourly basis, this practice allows you to avoid unnecessary charges and optimise your resource allocation. So remember, by diligently powering off unused instances, you can effectively reduce AWS costs and maximise cost savings.

It’s extremely important to have proper asset management in place to effectively reduce AWS costs. Without proper tracking, it’s easy to lose track of the resources deployed on AWS. From stale Amazon Machine Images (AMIs) to outdated snapshots and detached or unused volumes, every resource on AWS, even if minimal, incurs a cost. By regularly reviewing and cleaning up these unused resources, you can significantly save on costs. Implementing a robust resource management strategy ensures that you only pay for what you need, avoiding unnecessary expenses and maximising cost savings. Therefore, by proactively managing and eliminating unused resources, you can effectively reduce AWS costs and optimise your spending.