diff --git a/.circleci/config.yml b/.circleci/config.yml
index 797dff0fe8..095aa39b90 100644
--- a/.circleci/config.yml
+++ b/.circleci/config.yml
@@ -19,23 +19,25 @@ version: 2.1
 # 1) yarn lock file changes --> cached "node_modules" are different.
 # 2) bazel repository definitions change --> cached bazel repositories are different.
 # Windows needs its own cache key because binaries in node_modules are different.
-# **NOTE 1 **: If you change the cache key prefix, also sync the cache_key_fallback to match.
-# **NOTE 2 **: Keep the static part of the cache key as prefix to enable correct fallbacks.
+# **NOTE 1 **: In order to avoid the cache from growing indefinitely and causing slow-downs, we invalidate the cache monthly.
+#              (See https://support.circleci.com/hc/en-us/articles/360012618473-Creating-a-daily-cache.)
+# **NOTE 2 **: If you change the cache key prefix, also sync the cache_key_fallback to match.
+# **NOTE 3 **: Keep the static part of the cache key as prefix to enable correct fallbacks.
 # See https://circleci.com/docs/2.0/caching/#restoring-cache for how prefixes work in CircleCI.
-var_3: &cache_key v4-angular-node-14-{{ checksum ".bazelversion" }}-{{ checksum "yarn.lock" }}-{{ checksum "WORKSPACE" }}-{{ checksum "packages/bazel/package.bzl" }}-{{ checksum "aio/yarn.lock" }}
+var_3: &cache_key v4-angular-node-14-{{ checksum "month.txt" }}-{{ checksum ".bazelversion" }}-{{ checksum "yarn.lock" }}-{{ checksum "WORKSPACE" }}-{{ checksum "packages/bazel/package.bzl" }}-{{ checksum "aio/yarn.lock" }}
 # We invalidate the cache if the Bazel version changes because otherwise the `bazelisk` cache
 # folder will contain all previously used versions and ultimately cause the cache restoring to
 # be slower due to its growing size.
-var_4: &cache_key_fallback v4-angular-node-14-{{ checksum ".bazelversion" }}
+var_4: &cache_key_fallback v4-angular-node-14-{{ checksum "month.txt" }}-{{ checksum ".bazelversion" }}
 
 # Windows needs its own cache key because binaries in node_modules are different.
-var_3_win: &cache_key_win v4-angular-win-node-14-{{ checksum ".bazelversion" }}-{{ checksum "yarn.lock" }}-{{ checksum "WORKSPACE" }}-{{ checksum "packages/bazel/package.bzl" }}-{{ checksum "aio/yarn.lock" }}
-var_4_win: &cache_key_win_fallback v4-angular-win-node-14-{{ checksum ".bazelversion" }}
+var_3_win: &cache_key_win v4-angular-win-node-14-{{ checksum "month.txt" }}-{{ checksum ".bazelversion" }}-{{ checksum "yarn.lock" }}-{{ checksum "WORKSPACE" }}-{{ checksum "packages/bazel/package.bzl" }}-{{ checksum "aio/yarn.lock" }}
+var_4_win: &cache_key_win_fallback v4-angular-win-node-14-{{ checksum "month.txt" }}-{{ checksum ".bazelversion" }}
 
 # Cache key for the `components-repo-unit-tests` job. **Note** when updating the SHA in the
 # cache keys also update the SHA for the "COMPONENTS_REPO_COMMIT" environment variable.
-var_5: &components_repo_unit_tests_cache_key v1-angular-components-09e68db8ed5b1253f2fe38ff954ef0df019fc25a
-var_6: &components_repo_unit_tests_cache_key_fallback v1-angular-components-
+var_5: &components_repo_unit_tests_cache_key v1-angular-components-{{ checksum "month.txt" }}-09e68db8ed5b1253f2fe38ff954ef0df019fc25a
+var_6: &components_repo_unit_tests_cache_key_fallback v1-angular-components-{{ checksum "month.txt" }}
 
 # Workspace initially persisted by the `setup` job, and then enhanced by `build-npm-packages` and
 # `build-ivy-npm-packages`.
@@ -180,6 +182,13 @@ commands:
           name: Setting up alias domain for local host.
           command: echo "127.0.0.1 $SAUCE_LOCALHOST_ALIAS_DOMAIN" | sudo tee -a /etc/hosts
 
+  save_month_to_file:
+    description: Store the current year and month in a file, so that it can be used for computing the cache key.
+    steps:
+      - run:
+          name: Save month to file
+          command: date +%Y-%m > month.txt
+
   # Normally this would be an individual job instead of a command.
   # But startup and setup time for each individual windows job are high enough to discourage
   # many small jobs, so instead we use a command for setup unless the gain becomes significant.
@@ -187,6 +196,7 @@ commands:
     description: Setup windows node environment
     steps:
       - checkout
+      - save_month_to_file
       # Install Bazel pre-requisites that aren't in the preconfigured CircleCI Windows VM.
       - run: ./.circleci/windows-env.ps1
       - run: node --version
@@ -220,6 +230,7 @@ jobs:
     executor: default-executor
     steps:
       - checkout
+      - save_month_to_file
       - init_environment
       - run:
           name: Rebase PR on target branch