Summary
When an individual chooses to rid themselves of a few frivolities of life for the sake of financial stability, you can easily tell they are at the top of their money game.
The continually debated topic of frugal living will have one side calling you cheap while the other side will pat you on the back for an honorable show of discipline.
You can pay deaf ears to both sides of the debate and form your own views by reading this article. We are going to give you a comprehensive guide to frugal living so buckle in.
What is Frugal Living?
The concept of frugal living can be better described as a state of mind or second nature rather than an act. It is simply defined as intentional spending to be able to live, only paying for the things that mean the most to you.
You will have to understand what frivolities are and often, if not always, avoid and desist from them.
Why Frugal Living?
The state is frugal living is known as ‘frugality’. The reason we do not believe that frugal living can be called cheap is that people have different goals.
Some people aim at retiring early which means that if they live frugally now, they can save money to do so later.
Other people do this as a result of low income. It is one of their ways to save money to live comfortably through this low income.
Some others are just simply getting a thrill from the degree of discipline they exhibit, while others are just tailored to be miserly. The ones who take it to extremes are often the ones who give frugal spenders a bad name.
We are going to paint you a picture of the actual meaning of those concepts that are often stereotyped to be frugality.
Cheap
A cheap person is someone who simply loathes spending money. We know those shows and documentaries where they show us people who only shower once a week to save on plumbing or wouldn’t flush to save water. Nasty but yes, they exist.
Those people who push their living conditions to the extreme and deprive themselves of basic necessities to save a few bucks are who one would call ‘cheap’.
Minimalist
A minimalist has a way of life that connotes that they are minimal. This is detached from their finances. A minimalist believes in creating room for things they value.
An example is a person who would rather have a white house with simple furniture. Not because they wanted to save on interior decor but because they prefer it that way.
Hoarder
A hoarder is a person who does not throw things away even after they have been sucked dry of every drop of use. These people hold some sort of attachment to these things that is hard to explain.
Those who live frugally do not attach to their useless possessions.
That being said, as someone who is still relatively new to the concept of frugal living, we are going to provide a beginner’s guide. We will be stating things you can do to help you transition into frugal living full-time.
Guide to Frugal Living
In this section, we are going to give you some frugal living tips. Your beginner guide is here. Let us get straight into it.
If You Can Get It for Free, do not Pay
Frugal living requires you to save money and most of the time, we always pay a little more money for the luxury of not searching for a better deal. For example, you might be taking an Uber to go meet your friends. Frugally, you have a bus card which means you can ride the bus for free.
Another example is when you pay heavily for concert tickets when you can catch fun at free events. Also, you can get free samples of your favorite beauty products and self-care to save a bit.
This also applies to food and services. A good way to find free stuff is by researching your area on how to do so. Nevertheless, we implore you not to look towards charities as those free items are for people who need them. What we mean instead is maybe plucking oranges from your neighbor’s backyard rather than getting a bag from the store.
Hunt For Discounts
This comes in many different forms so here are a few examples; shopping at thrift stores and garage sales, getting essentials from clearance racks, clipping coupons and discount codes, getting credit card rewards, cash back apps on purchases, and more.
If you can’t get it for free, you might as well get it for much cheaper than you normally would.
If thrifting or garage sales are not your things, there is no reason to rush into living frugally. Baby steps!
Plan Ahead of Time
One of the best financial and frugal living tips is to plan ahead of time. Meal planning is one of the best ways to save money.
A meal plan is a step by step food budget of everything you are going to eat for the week. You can even prepare the food in one go and store it in the fridge to save you stress and time. Not only is meal planning easier, but it would also helps you waste food less.
Engage in DIY projects
When we say you don’t have to reduce your standard of life by living frugally, this is what we mean. Instead of spending money on a service or flat-out foregoing it, you can slap on a little elbow grease. On your free days, you can do it yourself.
For example, if you love cakes, you can whip up a little microwave cake rather that buying one. Or instead of a $15 body scrub, you can make a DIY scrub at home.
The double benefit of this is that you will save money and earn a new skill.
Negotiate
No matter what the price is, you can get a better deal. Haggling is a long-term tradition and when you do this, you get the best deals possible.
Now we aren’t saying you should negotiate at shops where prices are fixed but you can negotiate services and things you buy at yard sales and other places where you have direct contact with the seller. Not paying the full price of items will go a long way in saving money and help you get value for your money.
Set Goals
For most people, to transition into frugal living is fuelled by the motivation to reach their financial goals. Once you know what this goal is, you will be motivated to live a more frugal lifestyle.
Whether it is to put every saved penny into your emergency fund as an extra layer of security, get car insurance, pay for your wedding, or service debt or save up to meet your monthly budget then that will motivate you.
It is also best for people who are living paycheck to paycheck as a way to build some sort of savings and more. The fuel that drives frugal people to go through these lifestyle changes is a future goal they have.
Track your spending habits
You might need to track your monthly spending to the very last drop of water you buy. This will serve as a blueprint to know where you are cutting off.
The reason you need a tracker is that we can easily miss the little things we spend money on that aren’t utilities or bills.
This way, you will be able to know which financial decisions are detrimental to your progress and curb them. You can use software that is compatible with your phone. This will help so that you can track it at every point in time.
Cancel Subscriptions You Do Not Need
Subscriptions can be unnecessary expenses that adversely affect our finances. When you have bills to take care of and probably a whole family as well, $15.49 on Netflix is extravagant.
If you look deep and focus on saving, you will realize that these subscriptions are often unnecessary. Even if a subscription is just $5, that is $5 you can spend on something else.
Free Ways to Have Fun
Fun is an essential part of life but fun can also be very expensive. Nevertheless, there are cost-free ways to live frugally. A few examples are a family game night, going to national parks, going on a bike ride, a trip to the local library, a long walk, and more.
The best part is that these are things you can do alone or with your friends and family without having to spend money on expensive stuff.
Do Not Waste
The minute you throw something you can still use away; you are no longer living a frugal lifestyle because you have practically thrown away value for money.
This goes for clothes, food, detergent, and more. If you or someone in your family can still eat a meal, then you do not throw it out. You can up cycle outfits rather than throwing them away. Your pennies shouldn’t get lost in the couch. They add up.
Rent the things you will only need once
In the spirit of making smart choices, you can save money by renting items you will only need once. When you are being frugal, it is unnecessary to spend so much on one-use items.
So, ball dresses, carpet cleaners, and other one-use items can be rented for ten percent of what you would have spent.
Buy In Bulk
The idea of buying in bulk as a necessary facet of frugal living is to save money on your grocery bill. You will find that bulk prices are much cheaper than unit prices. It will also save you expenses on trips to the store.
Buy High Quality Products
Fast fashion and the like of it are robbing us. The concept of buying items because they are trendy, yet the low quality is not only bad for the environment but for your pocket as well.
When you buy higher quality products, this will help you save money on repurchasing. This does not mean that you have to buy store brands or anything, just ensure it is high quality.
Sell Items you Do Not Need
When you choose to live frugally, you will realize that a lot of your old spending habits meant that you have a lot of things you truly don’t need.
This can be anything from clothes to shoes to utensils and every other thing you own. There should be a question you ask yourself when decluttering; “how often do I use this?”
Service Debt
When you are engaging in frugal living, paying off debt should be one of your major budget categories. This is because of the high interest rates that long suffering debt can accumulate, and you will be saving money by paying debt off as soon as you can.
These tips are rather effective when it comes to starting off frugal living and will serve as a foundation for other practices you will choose as you go. This seems tough but it is one of the best ways to save and you will never regret following frugal tips.
In the next section, we are going to be answering some very common question
Frequently asked Questions on Frugal Living
Do I need a separate bank account for frugal living?
The frugal living community debates on this often. Most people recommend that you open a savings account to keep your spared money but there are a couple of problems.
You can not pinpoint exactly how much you have saved by practicing frugal living ideas. Nevertheless, it is nice to note that you can create a savings account for this purpose as seeing those numbers rise will be a drive to keep going and keep growing that money.
Is Frugal Living Worth It?
Following frugal living tips can seem like a chore but it can lead you to your dream life.
Most successful people had to invest their comfort and frivolities to attain the position they are in right now so you need to understand that you do not have to live frugally forever but the ends will inadvertently justify the means.
Can you get rich off frugal living?
While unbelievers will call you a penny pincher, you can in fact get rich by living frugally if you do it the right way. When you are living frugally in order to save to invest, buy a house or get out of debt then that can make you rich.
Will living frugally make you happy?
Depending on whether or not you tie your happiness to the things money can buy is up to you.
Some people find happiness in spending time with family and being in nature but if you find happiness in a Gucci store then you might be miserable if you choose to be frugal.
Conclusion
The frugal lifestyle is most definitely not for the weak. Nevertheless, it is worth the stress to achieve the life you want.
We hope that our frugal living tips help you save money. Moreso, we hope you reach the goals you have set out for yourself.
Comment below which one of our frugal living ideas you will try or have tried in the past!