Do you consider yourself to be frugal or cheap? It seems that many frugal folks get the reputation of being CHEAP, when really there is a big difference!
Being frugal DOES NOT mean that you never, ever spend money!
You can be frugal and still go out clubbing with your friends. You can be frugal and still blow $100 at the casino (but please don’t – gambling is SO STUPID). You can be frugal and still go out for dinner once a week.
You can still have fun while living a frugal lifestyle. The difference between being cheap and being frugal all comes down to how and where you spend your money.
Frugality is getting the most bang for your buck. If you can buy a great book for a friend for her birthday and it only costs you $1 at the thrift store, what’s wrong with that? The book is in like-new condition and it’s the exact book your friend has been lusting after for months. Is it wrong to buy your friend a gift that only costs you $1? HECK NO! Why would it be? This is not being cheap, it’s called good money management.
Being frugal does not mean spending no money, it means spending your money wisely. There are certain things in life I believe you should spend a bit more money on. An investment, really.
- mattresses
- pots & pans
- bras
- underwear
- child car seats
Those are a few things off the top of my head, but there are many more. It all depends on your family and your lifestyle. Just because something is super cheap, doesn’t always mean it’s a great deal and that you should buy it.
It’s easy to fall into the CHEAP category when you are really struggling to pay off debts or save for something you want like a house or a new car. To be frugal and avoid being cheap, always…
- Have a set amount of money every month for entertainment – AND SPEND IT ALL. If you don’t have fun in life, you will burn out rather quickly. Trust me on this one.
- Be sure to buy items that are of good quality. Just because it’s the cheapest, doesn’t mean it’s the one you should buy.
- Tip at least 10% when dining out. We always tip 10% for bad service, 15% for okay service and 20% for exceptional service.
- Buy or make thoughtful gifts, don’t buy things just because they are on sale.
Remember, being frugal is not a bad thing – as long as you’re doing it right.
I must be really cheap. No bra, nice underwear, or car seat for me. My mattress is at least 10 years old; I just flip it over every couple of months. I did sell $19.99 for a nice pan for cooking. I don’t go to places that require tip much. If it does I usually round up. 6.54 to 7. or a nice .46 big ones. Bad at gifts too. Gave mother a $13.99(supposely retailed for $99) 8 piece cookware set last x-mas.
I like the point you made about spending all your monthly entertainment budget. I think people trying to save money or be frugal think that they can’t go out and have fun because then they would be wasting money. It’s important to do fun things every once in awhile. Like you said, if you don’t you get burned out.
I’ve always considered being cheap is trying to scam money off other people. Like if you don’t put in your fair share when the cheque comes, you’re cheap, but if you had a great homecooked inexpensive meal at your home with friends, that’s frugal.