Frugal is a means and way to control expenses.
You can live frugally because you want to control expenses or you can live frugally because you need to control expenses.
Frugal living basically means that whenever you spend money to make sure to classify everything as Needed or Wanted. 'Needed things' come first and 'Wanted things' come either second or not at all. Frugal living requires great spending control; and some little savings here and there. Many people actually like this method. It is a bit of a challenge but they find it appealing.
It is obvious that most people don't want to live frugally but it may not be an option. Don't think of frugal as cheap or desperate, it is simply a necessity. There is nothing the matter with buying only what you need and not spending extravagantly to keep up with the Jones's.
Cutting fixed costs
like rent, utilities, insurance and prescriptions. Not too much can be done with these but try to keep them down. Use a little less electricity or whatever power used. Use a cheaper cell phone and cable packages.
Cutting variable costs
such as food, hygiene, health and clothes allow a lot of leeways. Buying the company brand or the no-name brand rather than the more expensive name brand will save a lot of money. Still, look out for good sales and don't buy junky quality products. They won't last therefore aren't wise purchases.
Saving with discretionary items
Going out for a meal is still possible, but choose an affordable restaurant - not something trendy and over budget. Get a basic meal and no dessert. Just window shop at trendy stores. It may be useful to find a good used store or frequent weekend markets. Focus on good condition items (eg. dinnerware, clothes), not electronics (too hard to judge quality).
Avoid Spending when Shopping:
- Coupons and sales are a challenge but some find it exciting. Getting ten, twenty, thirty dollars off (and even greater amounts) is fun. Getting clothes at big discounts is something to talk about. Make sure that the coupons and sales produce great savings and that the purchases are actually part of the budget.
- Cash only shopping means no credit cards and keeping to a list. Just bring enough funds to cover the real needs.
- Window shop only-don't go into shops which might tempt you. It sounds simple but some people find going into stores to be a necessity. Instead, just do it when something in the store is on your list of needs.
In a nutshell:
There are lots of suggestions on how to be frugal but the fact is simple: In everything that is done - look for a less expensive way to do it! If it comes down to it, simply say 'no, I don't need it or I can't afford it'. It may need a bit of getting used to but it will work. Consider it as just another level of living.
Still, wise shopping should leave some room to do things people like to do and at a level of decorum. This will avoid sudden overspending spree because you've cut down on enjoyment too much. This might affect savings but make sure to always save for emergencies. No matter what level of society one lives in emergencies happen.
+++link to Frugal Living on a Budget+++
Have Your Budget Plan with you at all times - Download the 'Yes, I can stay on track!' - Wallet Reminder
(click to open a printable pdf) +++Katja - can we make this so it pops up when checking out the budget or like a link so they don't need it in a wallet?
Cost Saving Frugal Notice! could be at top of expenses?
