Are you without a job? Living at age 60? Retired? Facing imminent retirement? Have a large family? Or simply just having a baby? One of the upshots of the Pandemic was that while a select few seemingly revelled in relative affluence, for many of us, ‘Frugal Living’ became a fact of life or even a necessity.
The financial impact of the Pandemic was to have a global effect on personal income. So whether you’re a domestic resident from India, Australia, South Africa, or the UK, ideas for ‘Frugal living’ began, in consequence, to permeate daily life.
So, What is ‘Frugal Living’ & is it worth it?
Q. Is Frugal Living simply a case of living with minimalism? Or a simple living response to poverty? And what is the difference between frugal and cheap?
A. “… it’s a case of Waste Less, Gain More – Simple Living & Higher Thinking!” – Anon.
Well… Frugal living means “…living within your reach financially while providing for your needs rather than desires.” And YES, it can be worth it!
Advice is often available in droves when not sought after. However, good, valid advice is often thin on the ground when you need it! When I am interested in direction, I am interested in what will help me save and build a future. In short, assist in pursuing the heart of all our aims – happiness.
This is the main objective of being frugal, empowering you more – without gaining any more hard currency
So is being Frugal advisable, or even smart?
Truly embracing ‘Frugal Living’ can release cash into your life now and provide future empowerment so that you, too, can achieve your dreams. Read this article on how you may be able to pay your mortgage off years early and thousands cheaper through reinvestment of frugal savings!
When, how and where to be frugal appears to be a factor of where our readers reside. In North America…. in Europe…. in the UK…. in South Africa…. in Australia… Second is your employment status. For those unemployed, an enforced fugal nature is not the same as the frugality of their employed cousins.
WHEN YOU RECEIVE AN INCOME, PREPARE FOR WHEN YOU MIGHT HAVE LESS.
Take care of the big things first:
Build an Emergency Fund – savings of at least 2 – 4 months of combined household income. Each month, put the remainder in an investment account to accrue interest.
Restructure your bills more efficiently to come out when paid, avoiding late charges: E.g. Mobile Phone / Cell, Energy bills, Broadband, and credit cards. Don’t be afraid to ask for a deal on your monthly expenses—like a phone bill, bank fees, car insurance, and subscriptions. Give them a call and let them know that money is tight. They often offer deals or a discount.
When going on holiday or travelling for business, book the trip first as that’s the highest cost. But instead of deciding where to go and then finding a flight, make a list of places you want to go and when a flight to one of those countries comes up on a deal, then book.
If you get a raise at work, divert it into your savings account from the beginning. You will accumulate savings faster; as we all know in human nature, you don’t miss what you didn’t have.
Take care concerning daily expenses.
Being mindful of spending on little things is essential as a part of the process. People who tend to be cautious about spending small amounts will not be careless with spending additional digits.
On average, we encounter far more “small expenses” in life than we do “big expenses”. So, spending intelligently on small things ends up having a significant impact. Be CAREFUL HERE; single unplanned large expenses coming at the wrong time can negate all our efforts.
Purchase your Coffees “at home.” This single expense can save you big in the long run. The fee of a few pounds daily adds up, sometimes totalling £100 – 200 per month. Instead, make your coffee “at home” with a programmable coffee maker, waking up to brewed coffee every day of the week while watching your daily cup costs plummet to about 50p per day. In this way and many others, it’s often advisable to substitute homemade goods instead of the shop-bought and buy just as reliable, less known labels as those of high-cost recognised brands. Also, make bulk purchases where possible, as savings here can be significant.
Take care when making large purchases – consider them over a short while.
A simple life hack here is to wait at least 24 hours (or more) before making any impulse purchases. See how much you don’t want something if you wait a little while. Then, repair / buy reconditioned but reliable products rather than new ones. Sell your current item when you upgrade. But don’t scrimp on the necessities of life!
POINTS FOR THE OUT OF WORK, THE UNEMPLOYED OR THE RETIRED.
“Take a moment to congratulate yourself on making your first steps in rectifying the problem.”
– ContentStrategies.co.uk
First, it’s understandable to feel stressed initially when having less money and financially feeling the pinch. Take a moment to congratulate yourself on making your first steps in rectifying the problem. There are so many things we can’t control! From the housing market, General Energy Prices, and other fixed costs of daily living etc. Remember to focus on what you CAN control, and when doing so, make wise choices. You’ve taken your first step by reading this article and following these simple stage-by-stage processes.
Focus your frugal efforts on your most significant expenses first, if possible.
Food
Buy in bulk when it makes sense, then split/ration out portions with friends or family. Buy seasonal produce as it’s cheaper. Learn how to cook and invest in good pots and pans that will last when cooking rather than replacing them constantly. Buy food storage containers, and store surplus food.
Buy local as well as at supermarkets or malls; visiting a butcher in the early morning often results in the availability of markdown meats –ask the butcher when they do it. Remember to eat as adequately as you can in winter periods. Stock up with Carbs in terms of foodstuff – nothing is as precious as your health! It’s pointless scrimping today if you have a future doctors/hospital bill incoming. So keep your food storage situation organised and supervised!
When shopping at supermarkets, always read the label. The same producer may make many foods, just labelled differently. Consequently, High-end products are available in low-end labelling. This may seem penny-pinching, but the difference over a year can be insane!!
While making your bread can be cheaper, sometimes it’s more convenient to buy it. On the other hand, some products do not defrost well. For example, you can’t freeze cheddar without changing the texture. Looking up simple hacks available online can often result in cost savings here. For instance, shredding cheddar and then freezing it can work better.
Ensure you eat prepared meals at set mealtimes! Helping you be more mindful of what you eat – as you must plan each meal – can be good at keeping down costs and eating healthier. Also, never go grocery shopping on an empty stomach. This subtle hack eliminates the chance of compulsive buying.
Heating
As illustrated by the current political turmoil in Russia, we can’t control electricity prices!!! However, we can choose and adjust our energy provider. It is usually worth checking every year or every other year if you can change to a new supplier. Where prices increase, checking with your supplier – even when in the contract – might give you the right to opt-out of a contract early. New providers occasionally offer a bonus if you sign with them, and switching can be fast and painless.
Insulate all home doorways, windows, and ceiling areas for lower utility bills. Either be proactive with your thermostat or get a smart thermostat. While the sun is shining, open doors, blinds or curtains to heat your home. Put shades up when it’s hot. Remember to take shorter showers to cool down. In Winter, put on additional clothing and in cold snaps, invest in an electric blanket—no more heating the whole house for just one or two warm bodies within a larger home. Remember the best time of year to get a deal on an electric blanket – Black Friday sales!
Importantly, ensure you have a full load before using either your washing machine or dishwasher – keeping down consequent costs.
Rent
While saving money, shopping at a cheaper supermarket is excellent; saving hundreds by finding a more affordable place to live compounds much quicker.
Scale on white goods and buy bulk with friends for all essential staple purchases:
If something breaks, try to fix it before replacement, and if you want to upgrade, sell the current item before purchasing. Pay off credit, especially credit cards and limit/eliminate all credit transactions you can as early as possible – depending on your nature.
It’s a bad rule of thumb to pay someone to spend your own money. So avoid late fees by paying off a credit card monthly. Also, don’t use a bank that charges fees to have an account. On the other hand, if you’re a naturally thrifty person, then perhaps it’s arguable for you to indulge in credit. Here, churn your credit cards for travel or cash rewards – but this is only advisable if you can meet the minimum requirements by spending on necessities.
There is truth in the adage that credit cards in a situation of limited income typically lead down a long road of costly outgoings and potential bad debt! In many cases paying double-digit interest, often on purchases from months or even years ago. So it’s sound advice to pay that off and don’t carry balances month to month ever again.
Sign up for every one of your favourite stores’ reward programs. Always check your email before shopping to see whether there are any offers. Use existing discounts and ask when there is not one advertised.
Ration your subscription services:
Don’t buy them because of the discount if you don’t need them. Also, keep a sharp eye out for subscription creep – “Stealth” increases in prices of Netflix, Spotify, Amazon Prime membership, etc.
Recurring small purchases:
Shop thrift stores regularly—dishes, cookware, clothing etc., again saving a small amount. But, again, do not buy stuff you don’t need just because of discounts.
If you need to buy from an e-commerce supplier, add it to your cart and leave it. They often email you a “Did you forget your cart?” message and an offer!
Try and get treatment for any addictions that cause a financial drain. Walk/bike/bus when possible and combine errands with an outlook for a social meeting or save costs. When trying to seek entertainment check the town’s calendar of free events. Museums don’t always charge admission, and movie theatres have deals for matinee prices. Budget for additional entertainment and splurge once every month. You will eliminate cycles of faithfully following your principles and subsequent feelings of self-betrayal should you break the rules.
Future employment:
For those out of work and seeking employment, remember that should you be able to work remotely, you recoup not only days of travel time (non-paid), save money on gas, and not have to eat out of the home! You also save childcare costs – which can run away with itself when not budgeted for, adding to a tidy sum. In consequence, in many cases, when available, consider a career that can be remote.
Budget. Drive a vehicle that uses fuel efficiently. Better still, buy a bike for exercise and enjoy long walks with your favourite pet.
Take care of your belongings so they last longer. Buy a good quality mattress/pillows and sheets – success revolves around getting a restful night’s sleep. Prioritise your health above all!
Perhaps the best “Frugal hack” is redefining luxury. A luxury can as easily be taking a walk in the woods with your pet, reading a classic or having a glass of wine from an inexpensive but tasty tipple. While costing little, you can find satisfaction – Feel like you live a rich life! Find things that bring great pleasure at little cost.
With these simple aspects adopted into your daily routine, your new Frugal Life may soon reap the rewards.
Note from the author:
‘FRUGAL’ DOESN’T MEAN ‘CHEAP’ – IT MEANS GETTING THE MOST VALUE FOR YOUR MONEY. WHILE YOU MAY BE FEELING THE PINCH FINANCIALLY, REMEMBER THAT WHILE BEING FRUGAL IS EXCELLENT – NOTHING IS AS VALUABLE AS YOUR TIME. TIME MATTERS GREATLY. FIGURE OUT WHAT YOUR TIME IS WORTH AND SPEND IT WISELY. IT’S OK TO PERMIT YOURSELF TO PAY A LITTLE CASH FOR SERVICES INSTEAD OF DOING IT YOURSELF IF STRETCHED FOR EITHER TIME OR ENERGY.
