The document provides strategies for reducing costs on AWS, emphasizing tools like CloudWatch alarms, reserved instances, and spot instances to optimize expenses. It highlights the importance of monitoring usage, eliminating idle resources, and utilizing services like Botmetric for cost management. The conclusion reinforces the benefits of AWS in terms of scalability and cost savings for businesses.

2. HOW TO REDUCE COSTS IN AWS
AWS has made it easier to deploy new services and applications. As
recently most enterprises were focused on migrating to this place,
they had not looked at reducing AWS utilizations and costs, resulting
in over using instances and under using infrastructure.
Developers and infrastructure engineers are often very happy with
their new found productivity and flexibility, until they exceed their
budget.

3. THIS IS WHY WE’VE PUT TOGETHER A HANDY LIST OF
SOME EASY TOOLS TO SAVE COSTS ON AWS

4. CLOUDWATCH ALARMS:
Amazon CloudWatch provides monitoring for
AWS cloud resources. By setting up a billing
alarm, you can tell CloudWatch to inform you
whenever your account has reached a certain
amount. We recommend defining the alarm’s
dollar amount by first analyzing the reports that
CloudWatch provides on previous months
expenses, so you can determine an average that,
once reached, you want to be informed. Make
sure you configure an email notification, so you
can know as soon as you open your inbox.

5. RESERVED INSTANCES:
One of the best ways to cut down your AWS
spending is through AWS Reserved Instances.
You can use them to lower the resources
you’re already using, by allowing you to pay a
lower effective rate than the price you would
pay on demand, for 1 or 3 years. A single 3-
year Reserved Instance is still significantly
cheaper than the cost of on-demand or three
1-year reservations. You will need to choose
the correct number and combination of RI
types to maximize savings.

6. SPOT INSTANCES:
Spot instances allow a customer to
purchase unused Amazon EC2 computer
capacity at a highly-reduced rate.
Instances are acquired through a bidding
process in which the customer specifies a
price per hour he is willing to pay. Spot
instances prices are 75% lower than On
Demand prices. Consider that Spot
instances work best when your company
is using hundreds or thousands or
machines for a short time. They are not
recommended for real-time services, like
web applications.

7. AUTOSCALING:
Auto Scaling is an Amazon technology
which allows to increase/decrease the
number of your instances in EC2
depending on the set conditions:
instance loads, traffic volume, etc. This
way, you can always be sure that your
project is going to live even with fast
traffic growth, and even in the case of
minimum number of visitors no cent is
going to be wasted on idle capacities.

8. BOTMETRIC:
Botmetric is a webtool that provides Cost Management
for AWS Cloud by offering smart recommendations thus
allowing us to make informed decisions. It has a monthly
cost, depending on your needs. This tool will keep you
informed of latest trends which may impact your budget.
It will break up cost per account and create
comprehensive monthly spend reports for manager to
analyze. You can save from 30 to 68% on long term
projects. It also provides cost audits to help detect
unused cloud resources.

9. BESIDES FROM THESE TOOLS
WE HAVE ALSO MADE A LIST
ON SOME OTHER TIPS TO
SAVE ON AWS COSTS:

10. HOW TO REDUCE COSTS IN AWS
• Confirm idle instance times: When you’ve identified some instances that you suspect are only needed
during certain hours—such as those in your dev and staging environments—you can test your
hypothesis by first simply asking around. If, like us, the only person in your staging environment is your
Lead QA Engineer, ask her what her schedule is. 8AM-5PM? Great—chances are, your staging instances
only need to be running between those hours.
• Eliminate unused instances: Identifying underutilized or unused EC2 instances is one of the quickest
ways to reduce waste in your AWS cost. By downsizing or turning off instances that have been forgotten
or overlooked, you’ll ensure that your company isn’t paying for resources that you aren’t using.
• Elastic Block Storage used: You can back up the data on your Amazon EBS volumes to Amazon S3 by
taking point-in-time snapshots. Backing up your data is not only a smart thing to do but, more often
than not, it’s critical. However, EBS snapshots should be saved in moderation, or you may find yourself
suffering from snapshot sprawl…which can exponentially increase your storage costs. Make sure you
have an EBS Snapshots retention strategy in place (using S3 Lifecyle rules) that’s a good fit for your
particular needs.
• Enable Cost explorer: This is a billing functionality in Amazon that allows you to explore cost for each
service for the current month. Make sure to check this on frequent basis so you won’t exceed your
budget.

11. CONCLUSION
It is an important decision to choose whether to move to he cloud
and to choose what kind of cloud service providers. But once you
start in AWS, the benefits you can acquire for your business will
show up quickly. As you can read here, one of these benefits are
based in cost terms and it is a relief to know how you can apply all
the tips in order to save costs in several ways.
The Cloud adoption with Amazon Web Services is the leading choice
for many startups and organizations, it provides deep competitive
advantages in terms of scalability, costs, disaster recovery, converge
fast and security. As an AWS experts, we can provide you best
practices to implement AWS solutions.

12. CONTACT US:
https://www.va2pt.com/