Frugal living refers to the act of being very rational and intentional with your spending. It involves prioritizing your spending on things that matter the most and cutting back on those that don’t. Living frugally can have different meanings to different people.
However, it does not necessarily mean choosing a staycation over an adventurous vacation, neither does it mean choosing to live a “hard life” in favour of saving money. The best part about frugal living is that you have the power to create your unique approach.
You decide where you will live largely and where you will live stingily. What’s for sure is that frugal living has plenty of long-term perks. But before that, here are some tips on how to live frugally.
Creating and sticking to a budget is vital for your financial freedom and success. As much as budgeting might seem difficult and hard to stick to, it is a sure way of attaining financial stability. Creating a budget allows you to prioritize things that matter and significantly cut your expenses on those that don’t. Contrary to what some people think, occasionally splurging on things you like is good for your financial situation.
Through it, you can save enough money for such purchases in future. Instead of buying costly products like designer handbags or shoes at a go, gradually save money for them to avoid taking so much of your account. The same goes for taking trips with friends or going on romantic vacations with your loved ones. Saving for such escapades will help stabilize your finances.
Pay On Time To Avoid Interest
If you have any loans, you should strive to pay them on time to avoid interest. Paying off your credit cards on or before their due date each month will help you save money you could have paid in interest. The same goes for your basic bills; always ensure they are paid on time. Letting your bills pile up will put you in a very difficult position financially. No matter how much money you make in a month, you will be very uncomfortable if you spend most of it trying to settle bills that you let pile up.
Cook in Bulk
Cooking in bulk can save you a good amount of money. Summoning the energy to cook after a long, tedious day at work is extremely difficult. What most people do in such situations is resort to fast food. They typically buy every meal, which can significantly hurt a budget. Cooking in bulk will help you avoid such occurrences. Based on what’s available, you can cook in bulk on Sunday afternoon and freeze several portions. Then, in the course of the week, you simply take your meals out of the freezer and warm them up. You will save a lot of money by doing so.
Avoid Unnecessary Spending
One way of living frugally is avoiding unnecessary spending. Simple choices like doing home repairs will see you save money you could have spent on replacing damaged parts. Furthermore, if you can do something on your own, you don’t have to hire a professional to do it. For example, if you believe in your make up skills, you don’t have to go to an expensive beauty parlour every weekend. Instead, you can choose to go to alternative holiday destinations that are affordable and fit your budget.
If there is an opportunity to buy a perfectly working second-hand commodity, do it. You can save a good amount of money with slightly used items. You can check around online marketplaces and local thrift stores for items you need at budget-friendly prices.
Long-Term Perks Of Frugal Living
There are many long-term benefits of frugal living. Here are a few of them.
What you are doing with your money right now will impact your future significantly. Living frugally will have a positive impact on your future. After you have retired, you will be in a better financial position thanks to saving. If you ever need it, you will also have the option of a reverse mortgage at your disposal. This is where direct lenders like All Reverse Mortgage pay you monthly off your home equity. Reverse mortgages come in handy, especially after you have retired and no longer have a constant source of income.
Improved Net Worth
By living a frugal life, you will save a significant amount of money. This makes it easier to grow your net worth.
Living a frugal life doesn’t mean sacrificing all the good things in life to avoid spending money. Instead, it is a way of being intentional with your spending and prioritizing things that matter. The benefits of frugal living are overwhelming, not only short-term ones but also long-term. Try frugal living today and see your financial situation improve!
It’s so good to know I’m not alone. We use a lot of second hand items. It’s crazy when you start being intentional about living simple and below your means, you realize just how much money you were wasting!
Along the same line of cooking in bulk is meal planning for the week! So many people don’t do this either but if weekly you’re purchasing ingredients for meals, you’ll be more motivated to eat at home because the guess work is gone!
Thanks so much for the tips! I especially loved the reminder to buy used!
My mom told me often to cook in bulk! I think living a frugal life now is a great way to be considerate of your needs in the future. Thanks for sharing!
Budgeting and cooking in bulk are really great tips. Enjoyed reading and appreciate you writing on this topic. 😊
Pastor Natalie (Examine This Moment)
Great information – I love the idea that you get to create your own vision of what frugal living looks like. Thanks for sharing!
I used to be really frugal. One thing I’ve learned we have to balance it out- there are things we should save on (as listed above) and others we need to splurge- for our own well-being. It’s nice to feel safe when we have money saved up but if we are afraid to let go, it could mean that we fear we won’t make that money back. Lack of self-belief in our own capability is really limiting. Lessons learned.
Thanks so much for sharing! I know I definitely need to be more mindful on certain things.
It’s good to have a good net worth when living a frugal life. Thank you for sharing these great tips and ways to live better.