In today’s current economic conditions either you have suffered a financial setback or are concerned that you might be impacted. If you are looking for a strategy to make your money go further then perhaps living frugally is an option. Our financial expert Andy Mattingly is with us to explain how to implement a frugality lifestyle to save money.
What exactly is a frugal lifestyle?
Some might think that clipping coupons, shopping at discount stores and cutting back on lattes is living frugally but a true frugal lifestyle goes way beyond those basic money saving. Frugal living means being hyper sensitive about your spending and focusing all of your efforts on a few very important financial priorities.
How can one implement a frugal lifestyle?
It starts with the basics of looking at all your spending and making cuts in all of your expenses to reduce them to so that your broader financial goals can be achieved. It might be that you just want to survive with a lower income or that you want to retire by 50. Whatever the reason all of money moves are designed to reach that goal.
Are housing and auto expenses included in this expense reduction effort?
Yes and they are probably two of the hardest to achieve. This might require downsizing or if you are single having roommates to lower your monthly housing expenses. And if you are a couple with two auto loans it might mean cutting back to only 1 vehicle and making that work.
What are other frugal strategies that would need to be implemented?
Two of the most important are learning to buy used and spending more time buying everything. If you want to find value you will need to spend more time not just looking for the lowest price but for the best product at the best price. Not all used products are the same.
What is the hardest habit to change to truly live a frugal lifestyle?
Without a doubt it is paying for convenience, from eating out to work around your house. The more we pay for others to complete things for us the less frugal we are living. We all pay for convenience in several aspects of our life.
Can one still have fun living frugally?
Yes, there are so many free activities and low cost options available. If you are dating, cook meals together instead of going out. Families can get free movies from the library and watch at home instead of renting on demand. Spending time outside on nature walks or hiking new trails are also options that support a frugal lifestyle no matter your relationship status.