Amazon Prime users in the US are in for a price hike very soon, with costs jumping by $20 per year for its most expensive plan.

The company is citing multiple reasons for the increases, including covering the costs of new content for Amazon Prime Video, the rise of workers wages and increased shipping prices.

Amazon Prime has several benefits, including next-day delivery, access to flash sales, TV and film streaming via Amazon Prime Video, e-books, music streaming and further benefits.

If you would like to know what prices the new Amazon Prime subscriptions will be in the US and how to avoid paying them, then we have everything you need to know.

Currently, Amazon is stating that this price increase only applies to the US, but many are speculating that the UK and the rest of the world will follow suit in the coming months.

How much is Amazon Prime increasing by?

Amazon’s US Prime subscription costs will affect the monthly and annual plans. Here is what the price changes will be:

  • Amazon Prime monthly subscription: Increasing from $12.99 per month to $14.99 per month
  • Amazon Prime annual subscription: Increasing from $119 per year to $139 per year

In addition, reports from CNBC also state that the Student plan will be increasing from $59 per year to $69 per year – though we assume that the six-month free trial will still be available.

So far, no increase for standalone Amazon subscriptions (such as Amazon Prime Video or Amazon Music Unlimited) has been confirmed. If we hear anything more, we will update this article.

Amazon Prime price hike

Buy an annual subscription before the price hike

The price hike is will not go into effect until Friday 18 February 2022 for new subscribers, and Friday 25 March 2022 for existing ones.

The best way to lock in for the lower prices (and save $20) is to buy or renew an annual plan for $119. If you are new, ensure that you sign up by the end of today. If you are an existing customer, you must renew before 25 February 2022.

If you have not yet signed up for Amazon Prime, you can do so on the website. New users can get a 30-day free trial

If you want to renew your plan, here is what you need to do:

  • Head to your Account and then click on 'Prime Membership'
  • Click on ‘Manage Prime Membership’
  • Select ‘Change Payment Option’
  • Here you will be able to change your billing date and switch to an annual plan

Buy an Amazon Prime gift subscription

If you are already on an annual plan that has a few months left, then you may be wondering how to get the most for your money. The best thing to do is to buy a gift subscription for yourself, which you can then redeem later. 

Prime gift card

Here is how to do it:

  • Head to your Account and then click on 'Prime Membership'
  • Click on ‘Manage Prime Membership’
  • If your membership renews after 24 March 2022, check the box to remind you when the subscription is due to renew so you cancel later
  • If your membership renews before 24 March 2022, let the membership renew at its usual rate, and check the box to remind you not to renew it at the higher-priced plan a year from now
  • Go to the Gift of Prime page and purchase either a three-month subscription ($39) or a 12-month subscription ($119)
  • Input the email address you want to send the gift subscription to
  • Redeem this once your current Prime runs out

Bundle in Amazon Prime with a mobile subscription

You can also save money on Amazon Prime by bundling it in with another subscription. Metro by T-Mobile offers subscriptions with its mobile plans. 

Cancel your subscription

If none of these options are viable, then you can always cancel your subscription altogether. There is always the option of signing up again on a monthly basis, should you change your mind.

end prime membership

Here is how to cancel your Amazon Prime subscription:

  • Head to your Account and then click on 'Prime Membership'
  • Click on ‘Manage Prime Membership’
  • Click on ‘End Prime Membership’
  • Confirm your choice by selecting ‘I do not want my benefits’

If you would like more details on how to do this, such as how to cancel on mobile, then check out our guide to cancelling Amazon Prime.

You can also read up on why Netflix UK might be increasing its prices soon