Being frugal and thrifty doesn’t mean never spending money! Sometimes saving every penny can actually cost more in the long run, and sometimes it’s perfectly okay to spend a little extra. I’ve learned that living frugally is about making smart choices with money, not depriving myself of everything I enjoy. So when is it okay to loosen the purse strings? Here’s how to know when being less frugal actually makes more sense!
A lot of folks seem to think that being frugal and thrifty means one of two things; either going without what you need and want and pinching pennies until they scream mercy and give up the ghost. But the truth is that being frugal and thrifty can be boiled down to one sentence.
Being frugal should make life easier to afford, not harder to live.
There is no reason to change your lifestyle in a way that makes it so you have no quality of life. You can cover your expenses and save money without doing it.
Now with that said, if you are currently without a job or are living below the poverty level, you will both need and want to find ways to make money with no job. Having extra income will help you live a frugal way of life because it opens up opportunities you may not otherwise have.
If you are in those two situations, this post can actually help you more so than someone who is not struggling. Because knowing the difference on a couple of things here and there will help you learn to save money in a much bigger way over pinching every penny you have until it’s crying.
So no, I’m not going to tell you to stop buying your coffee or that the extra $10 in gas you spent to have fun on a weekend is too much and you need to stop.
Should You Worry About Money?
The thing is that there are times when being super frugal doesn’t make much sense. For instance; quality vs quantity or if the supposedly frugal decision will take away a huge percentage of your quality of life.
We all have different standards for what quality of life means to us. For instance, I am a widow with grown children. I do not need nor do I want a whole house or apartment to myself. Instead, I rent a room from my aunt who is a recent widow on a semi-off grid homestead. It works for us and it works for the homestead.
But living with family may be across the line of what you would be willing to do. For some, it would be a reduction in their quality of life. For mine, it enhances it because to be blunt; I am not alone since being alone brings up truly awful memories of my husbands passing.
When Being Thrifty and Frugal Makes Sense
I love living a frugal life and there are a lot of situations where it makes sense. Learning how to save money on food, for instance. Why wouldn’t you? The only answer is that you wouldn’t try to do so unless you truly had enough money to not care. The same thought process happens when you decide to do something like shop at Goodwill and other thrift stores or to eat leftovers one night.
The easiest way that I’ve personally found is to ask myself if being frugal for this specific situation will enhance my life or make it harder. In most cases, it will enhance it without much work. I use a reusable 40oz tumbler for water over buying bottled water most days. It requires very little extra work and to be honest, I drink more water and am therefore feel a bit better than I would if I didn’t get all of my ounces in. But it saves me quite a bit of money each month given how much water I actually drink.
When Being Frugal Does Not Make Sense
While I like being as frugal as possible, there are certain situations where you can actually end up spending more than you would if you had just done the more expensive thing. Buying new shoes is a good example of this. I can go to Walmart and get a pair of shoes for around twenty dollars, but you know what? In three months (or less), I am going to be buying another pair, they’re more likely to make my feet hurt and just generally turn out to be a not great buy.
But, if I spend $75 on a good pair of shoes, they will very likely last me a year or longer, be more comfortable and I will be overall happier. In fact, the last pair of $20 shoes I bought only lasted me 6 weeks. The $100 shoes I have are now two years old.
Over time, the cheap shoes would have cost me over $170 to keep up on. I spent more out of pocket at the start, but overall I saved money. Bulk purchases are the same way. If you won’t eat a gallon of mayonnaise from Sam’s before it goes bad, you are much better off spending the money on the small one. Sure, you get less, and that smaller mayo may cost more per ounce, but overall, you’ll spend less; and waste less.
Or do one better and make THIS homemade mayo recipe.
What is the Difference Between Being Frugal and Being Cheap?
The other time it makes no sense to be frugal is if you’ve crossed into cheap. I know that sounds counter-intuitive, but make no mistake; cheap and frugal are two entirely different things.
The distinction is that frugal means you’re spending or saving money wisely. Cheap means you’re – very likely – doing without what you need to make your life as comfortable as it can be all in the name of spending money. Basically, being frugal means knowing when to spend your money and when not to. Being cheap means you don’t know when TO spend your money. You look at it as a “must save all no matter what the circumstances” and if your quality of life is damaged, so be it.
In other words, saving money isn’t always a good decision just because it saves money.
For instance, if you don’t have the cookware or cooking utensils necessary to cook at home simply because you refuse to pay for them? You’re cheap. If you’re not properly cleaning your home because you refuse to pay for and have the proper cleaning supplies? You’re cheap. If you’re stretching garbage bags a week or more in the name of not using them? You’re cheap.
Yes. I have encountered two people in the past year who were doing all of those things in the name of saving money.
I understand and agree that life has gotten truly expensive in the US. But when you’re deciding if you should be frugal and thrifty and are learning how to spend less money, looking at whether the situation is one that will save you in the long run is a must do.
Frugality isn’t a sprint. It’s a lifestyle and if you’re not looking at it as one, you’re ultimately going to spend a lot more money than you would have if you had taken the time to ask yourself if it makes sense. Knowing the difference is how you’ll be successful living frugally.
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