In 2013, I gave up cable TV and began watching television by streaming it over the internet. At the time, I was paying an average of $120 a month for just cable TV. When we dropped cable, our annual cost for TV went from about $1,400 to $588.

I wrote quite a bit about cord cutting in those early years, but much of that is now out of date. The TV landscape is much friendlier to cord cutting, though also trickier to navigate. It's all too easy to pile on streaming services until your monthly cost approaches the cable bill you just dropped.

While cutting cable TV's cord will save you money, it won't make watching TV easier. One of the things you're paying for with cable is the convenience of having a centralized, well-organized hub for TV watching. With streaming, you have to figure out what shows are available where. If you're willing to put in that effort, it's worth it.

Here, then, is a guide to cutting the cord in 2018, and doing so in a way that really does let you save money.

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Step 1: Audit your watching

Begin by paying attention to - and even writing down - what you watch. This process will let you figure out how much money you can save, as well as whether cord-cutting is even for you. If you have kids in your household, this will also let you get a handle on just how much TV they are watching.

How to: Use your own modem and router with Comcast

Most people watch a fixed number of TV shows a year. Put into a spreadsheet their names, the networks or channels they are on. (Don't include sports. We'll get to that in a minute.) Leave a blank field, because that's where we'll put the price of subscribing to them.

One of the biggest mistakes newbie cord cutters make is trying to duplicate the cable TV channel bundle. My advice is: Don't. Instead, think in terms of getting access to specific shows, not channels.

Next, go to your favorite source for streaming current movies and TV shows - such as iTunes or Amazon Prime Video - and look up the prices for a season of each show. Typically, they'll run $25-$35 per season.

Now put those numbers into the empty field you left on your spreadsheet. Add a line for Netflix, Hulu or whatever streaming service you think you might use regularly. Multiple the monthly cost for that by 12.

(If you want to use Amazon Prime, remember that its $119-per-year cost also includes other services, not the least of which is free shipping. Calculating the exact cost for the video feature is difficult, but you can probably apply half the annual cost in your spreadsheet.)

Add all these numbers and then divide by 12. If that number is less than the cost of your cable TV bill minus internet, then cord cutting makes sense for you.

That is . . . unless you're a big watcher of sports. While watching sports without cable is somewhat easier now, cable companies still have a lock on local professional teams. For example, you must have AT&T SportsNet in the Houston area to watch the Rockets or the Astros during their regular seasons. The NBA and MLB streaming services black out local teams. (An exception is playoff games, in which local teams can be found on streamable cable channels.)

Step 2: Test your internet

In a way, "cord cutting" is a misnomer. You'll still need a cable coming into your home to deliver internet. And it needs to be fast enough to handle video - and multiple video streams if more than one person wants to watch at a time.

How to: Improve the Wi-Fi reception in your home

Generally, the minimum speed for being able to stream video is 6 megabits a second. But ideally, you will want at least 10. And if you have more than one stream going at a time, 25 Mbps is a good idea. In a big household with lots of watchers, think about 100 Mbps or better. Think there may be some online gaming going on as well as video watching? Consider 150 Mbps or more.

If you don't know how fast your internet connection is, use a computer either connected directly to your home router via Ethernet, or via Wi-Fi in the same room as the router, and visit SpeedTest.net. Run several tests to get an average.

Step 3: Consider your hardware

If you're dropping cable, that means you'll lose your cable box, but depending on the TV you own, you might to buy a replacement.

Streaming TV uses apps either on the set itself or on what's known as an over-the-top box, such as Apple TV, Amazon's Fire TV, Google's Chromecast or Roku. These boxes connect either via Ethernet cable or Wi-Fi to your home network's router.

If you have a smart TV that has the software you need, you won't need to buy anything else. But if your TV set is older, it may not have this capability. And even if your older set does have its own apps, they may be out of date and are not able to be updated. In that case, you'll want to buy an over-the-top box.

Which box should you buy if you need one? If you've already got Apple products in your home, such as a Mac or an iPhone, you may want to consider Apple TV, which can work in conjunction with them. If you've got an Android phone, you may want to use Chromecast. And if you've got an Amazon Echo, the Fire TV or smaller Fire Stick may be the way to go.

How to: Speed up your computer with one weird (DNS) trick

With the exception of the Chromecast, each of these boxes have apps that let you watch the channels and shows you want. Chromecast lets you run apps on your phone that you then "cast" to the TV.

Step 4: Choose your sources

This is the trickiest part, and the one that can cost you almost as much as your cable bill if you are not careful.

There are several streaming-only packages that give you access to many cable channels by paying a single amount. If you're a channel surfer, this is the way to go. They also are a good way to provide sports programming, though you may or may not be able to see local teams.

There's Google's YouTube TV ($40 monthly); Sling TV ($20-$40 monthly, plus many $5 "extras"); AT&T's DirecTV Now ($35-$70 monthly, plus $8 add-ons); Sony's PlayStation VUE ($40-$75 monthly).

If you max out some of the package services, you're not going to be saving much money, if any.

Then there's Hulu ($9-$40 monthly, plus add-ons) or Netflix ($8-$14 monthly), with original programming, familiar network and cable shows and movies. Amazon Prime Video is similar and is included with the cost of the $119 Amazon Prime. If you order enough items with Prime's free shipping from the online retailer, it pays for itself.

Some of the individual channels have their own freestanding streaming options that don't require a cable login. ESPN, HBO, Showtime and many others are available for a smaller monthly fee, ranging from $10-$15. And there are also sports networks available - MLB, NFL, NBA, etc. - with fairly expensive packages that typically black out local games.

How to: Update your router's firmware and improve its security

One other thing to keep in mind: These streaming packages don't come with contracts. You can subscribe to one and drop it as needed. For example, if you're a fan of "Game of Thrones," you can subscribe to HBO Now for the weeks that it airs, then drop the service when it's done. And they all have a short, free trial period. Try one and if it doesn't suit your needs, sample another.

You can also buy an antenna that lets you pick up digital, over-the-air signals. These antennas can cost as little as $25 and allow you to pick up dozens of channels in the Houston area, though how many you receive will depend on your location in relation to the station's transmitter.

Finally, as I mentioned earlier, you can use Apple's iTunes or Amazon Prime Video to buy season passes of shows. An added bonus: The episodes are all commercial-free. A combination of purchased seasons and either Hulu, Netflix and an old-school antenna will give you more than enough entertainment.

[Update: There's a good roundup of the various streaming services and their pros and cons at Inc.'s website.]

Step 5: Cut your cord

This is the final step.

If you need to change internet providers, do that first, and arrange for service to be turned on a day or two before you drop cable TV and your previous internet provider. If you are keeping your current internet service, make sure it's working well and is fast enough (see Step 2).

When you call to cancel your TV service, be prepared to hit resistance. The representative will try to talk you out of it, offer you a lower rate (possibly with fewer features or channels) and likely pass you off to a retention specialist in an attempt to keep you as a customer. If you're determined to drop cable TV, be strong. You'll hear a lot of promises and deals that sound good. But if you've done your homework, you'll know they're not as good as not having cable TV.

Once the rep gives up, you'll be told where to bring your cable equipment to return it. You may be offered a credit for that part of the month you didn't use.

At that point, you've made it. You're now cable TV-free. Enjoy your savings, but don't expect to have more free time. There's a LOT of television out there to watch.

Dwight Silverman is the technology editor for the Houston Chronicle and the grillmaster for the TechBurger tech news site. Follow him on Twitter and Facebook.

Get more tasty tech news at TechBurger. And follow us on Twitter and Facebook.

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