Up until the last recession, being frugal got a bad rap. People took “frugal” for being cheap. In essence being frugal is to get the most for your money and resources, even if you have none. Today more and more people are finding frugality sexy, including my self.
Below are some frugal commandments to live and die by.
1. Buy used.
The basic logic to being frugal is to get the most value for your money. The best way to go about this is to buy used. Those who purchase used are more than happy to let someone else pay the full retail price, so that they will absorb the maximum savings. The best example of this is would be a purchase of a used care. The difference between a new and 2 year old care for example is significant. Many things factor into this, such as it is already pre-owned, has mileage on it and is 2 years old, yet both the new and the 2 year old car in the same brand/model perform the needed tasks just as well.
2. Never buy things you don’t need.
There are basic needs, such as food, shelter, transportation and utilities are basics necessities to living life. That means purchasing a 50″ television set, when you already own a 32″ television set is simply a need, not a necessity. Why do you really need a 50″ television, you are only gaining 18″ more of screen and after that nothing else. With this step, willpower is huge, without it, you are nothing. The long and short of it, if you don’t need it, don’t buy it, no matter how good the price is.
3. Look for alternatives.
If you need something, the easiest way is to go out and purchase it. There are other alternative ways to this. Can this item be borrowed, loaned from a friend or renting it? Think about it. The best example to this is books, why go purchase a book, that you will read once, when you can probably head to your local library and borrow the same book, with no cost incurred, unless of course you are a slow reader, there may be some minor late charges.
4. Purchase for value, not price.
The biggest misconceptions people think about being frugal, is that those only look to buy the cheapest items or at the cheapest price possible. Yet the truth is, purchasing for value we look at things such as life expectancy, upkeep costs and the value of the item after some time. The long and short of it; look at what value the item will bring over time, rather than the sale price.
5. Patience is key.
Being frugal is not about following the latest trends. Rather wait until the item has been soaked up by the early buyers in the item’s early shelf life, because over time the price of this item will only fall. Frugal people rarely have the latest trends and gadgets. They are patient and wait for the best price on the item. Frugal people are usually 1 or 2 trends behind everyone else, especially technology.
6. D-I-Y – Do it yourself.
Being frugal is doing things your self. Even if you don’t know how to do it, attempting to do it your self is key. Frugal people will avoid at all costs paying someone to do something. They will either do it them selves or get help from friends, family or neighbours or research ways to do something, such a googling it or even watching a video on YouTube.
7. Buy only when you have the money.
As mentioned in above steps, being frugal takes research, patience and willpower. Above all, frugal people only buy things when they have the money, in other words they avoid to pay by credit. They budget and save in order to make that purchase.