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Cloud Cost Optimization Cheat Sheet

Cloud Cost Optimization Cheat Sheet

Practical strategies and tools for reducing cloud spend across compute, storage, and networking on AWS, Azure, and GCP.

2 PagesIntermediateFeb 10, 2026

AWS Cost Explorer CLI

Query cost and usage data from the command line.

bash
aws ce get-cost-and-usage \  --time-period Start=2026-06-01,End=2026-07-01 \  --granularity MONTHLY \  --metrics "UnblendedCost" \  --group-by Type=DIMENSION,Key=SERVICEaws ce get-rightsizing-recommendation \  --service AmazonEC2

Find Idle/Unattached Resources (AWS)

Identify unattached EBS volumes wasting spend.

bash
aws ec2 describe-volumes \  --filters Name=status,Values=available \  --query "Volumes[*].{ID:VolumeId,Size:Size,Type:VolumeType}" \  --output table

Compute Savings Levers

Key compute savings levers to know.

  • Reserved Instances / Committed Use- 1-3 year commitment for 30-70% discount vs on-demand
  • Savings Plans (AWS)- Flexible commitment to a $/hour spend, applies across instance families
  • Spot / Preemptible Instances- Deep discounts for interruptible, fault-tolerant workloads
  • Rightsizing- Matching instance size to actual CPU/memory utilization
  • Auto-scaling- Scale compute down during low-traffic periods instead of running peak capacity 24/7

Storage & Monitoring Levers

Key storage & monitoring levers to know.

  • Storage Lifecycle Policies- Auto-transition cold data to cheaper tiers (Glacier, Archive, Coldline)
  • Delete Unattached Volumes/Snapshots- Orphaned EBS volumes and old snapshots silently accumulate cost
  • Tagging Strategy- Tag resources by team/project to attribute cost and spot anomalies
  • Budgets & Alerts- Set threshold-based alerts (AWS Budgets, Azure Cost Alerts) before overspend happens
  • Egress Traffic- Cross-region and internet data transfer is often the hidden top cost driver

Enforce Cost Allocation Tags via Terraform

Fail the plan if required cost-tracking tags are missing, preventing untagged spend.

hcl
variable "required_tags" {  type    = list(string)  default = ["team", "cost-center", "environment"]}check "cost_tags_present" {  assert {    condition = alltrue([      for t in var.required_tags :      contains(keys(aws_instance.app.tags), t)    ])    error_message = "Missing required cost allocation tag(s) on aws_instance.app"  }}resource "aws_instance" "app" {  ami           = "ami-0abcdef1234567890"  instance_type = "m6i.large"  tags = {    team        = "platform"    cost-center = "CC-1042"    environment = "prod"  }}

S3 Intelligent-Tiering + Lifecycle Policy

Automatically move objects to cheaper storage classes as access frequency drops.

json
{  "Rules": [    {      "ID": "AutoTierColdData",      "Status": "Enabled",      "Filter": { "Prefix": "logs/" },      "Transitions": [        { "Days": 30, "StorageClass": "STANDARD_IA" },        { "Days": 90, "StorageClass": "GLACIER" },        { "Days": 365, "StorageClass": "DEEP_ARCHIVE" }      ],      "NoncurrentVersionExpiration": { "NoncurrentDays": 30 },      "AbortIncompleteMultipartUpload": { "DaysAfterInitiation": 7 }    }  ]}

Kubernetes VerticalPodAutoscaler (Recommend-Only)

Continuously right-size container requests instead of guessing at deploy time.

yaml
apiVersion: autoscaling.k8s.io/v1kind: VerticalPodAutoscalermetadata:  name: api-vpaspec:  targetRef:    apiVersion: apps/v1    kind: Deployment    name: api  updatePolicy:    updateMode: "Off"   # recommend only; apply manually or switch to Auto once trusted  resourcePolicy:    containerPolicies:      - containerName: '*'        minAllowed:          cpu: 50m          memory: 64Mi        maxAllowed:          cpu: 2          memory: 2Gi

FinOps Metrics That Matter

Cost KPIs mature teams track beyond total spend.

  • Unit Economics- Cost per request/transaction/customer — normalizes spend against actual business growth
  • Committed Use Coverage- % of usage covered by Reserved Instances/Savings Plans vs on-demand — track to avoid over- or under-committing
  • Effective Savings Rate- Actual discount realized after accounting for unused commitment (a poorly matched RI can net negative)
  • Waste Ratio- Spend on idle/unattached/oversized resources as a % of total bill
  • Showback vs Chargeback- Showback reports cost per team for awareness; chargeback actually bills it to their budget
  • Anomaly Detection Lag- Time between a cost spike occurring and an alert firing — the gap is where waste accumulates

Advanced Compute Cost Levers

Beyond basic rightsizing and reserved instances.

  • Graviton / ARM Migration- ARM-based instances (AWS Graviton) offer ~20-40% better price-performance for compatible workloads
  • Spot Fleet Diversification- Spread Spot requests across multiple instance types/AZs to reduce interruption risk and improve fill rate
  • Bin Packing / Node Consolidation- In Kubernetes, aggressive bin-packing (via Karpenter or Cluster Autoscaler) reduces the number of underutilized nodes
  • Serverless for Spiky Workloads- Pay-per-invocation models beat always-on compute when traffic is bursty or intermittent
  • Scheduled Scaling for Dev/Test- Auto-stop non-prod environments outside business hours; often 60-70% of a dev account's runtime is idle nights/weekends
Pro Tip

Before buying Reserved Instances or Savings Plans, run rightsizing analysis first — committing to the wrong instance size locks in waste for the entire commitment term.

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