30 Ways To Be More Frugal. Frugal Is The New Sexy.

When you hear the word frugal, what comes to mind? Is it someone scraping every penny and living on rice and beans? Is it someone using cloth toilet paper? Is it someone who goes without any fun in their life? Think again. Frugal is not any of these images. It is a smart, intentional way of living. Let’s explore more. This article covers ideas for being more frugal in your everyday life, which helps lead to bigger savings.

What does it mean to be frugal?

Let’s get this out of the way first. Being frugal does not mean being “cheap” or “miserly.” Being frugal is being mindful about getting the most out of your money. Frugal people pay themselves first and put money to work vs. spending most of their money on consumer goods and services they can easily do themselves. What’s the difference between being cheap and being frugal?

People are at various stages of financial independence – you may need more or less work than others in this department. Frugality is one important tool to get you to your goal. Our society has you believe that you need “things” to make you happy, and once you get those things (big house, fancy car, latest fashion, latest gadgets), you’ll be happier. The truth is, if you’re not happy already, the “things” are only going to make you less happy, especially if you’re piling on debt to get them. Frugality shouldn’t be seen as torture. It is an important habit that will give you a different perspective on your lifestyle and your finances. Frugality is a way of life that will help you on your journey to financial independence.

How do I become more frugal? Here are 30 ideas.

1. Live below your means. One of the biggest things frugal people do is live below their means. Frugal people know what money they have coming in, and they have a lifestyle that is supported by only a portion of that income. They do not spend more than they make. They invest vs. spend.
2. Right size your living space. Many people have the desire to “live large.” Our houses in the U.S. are some of the largest in the world (2nd only to Australia). When you have a large house, you don’t just have a more costly house; it drives larger utility bills, property taxes, repairs (such as a new roof). When buying a new home, some miss those considerations.
3. Pay yourself first. The best way to ensure you are saving money is to automate it. Set up your savings to come out of your pay before you even see it. 401k accounts, Health Savings Accounts (HSA), college savings accounts, Individual Retirement Accounts (IRAs) and so forth are all places that you can divert money before you even get your hands on it. Paying yourself first ensures that you make a habit of saving over spending. Set up instructions with your employer and/or bank(s) for where you want money to go and live on the rest.
4. Buy used (especially big ticket items, like cars). When you have a need for something, think used first. Cars, for example, are not an investment. The minute you drive a new car off the lot, it depreciates. In the first year, depreciation is 20% on average. Cars should be seen as a utility to get you from point A to point B. By buying a car used at a good price (preferably with cash), for example, you can opt to purchase liability only insurance coverage which saves you also in ongoing expenses which are costly.
5. Eat at home. It can be really tempting to have someone else cook for you, especially if you’re busy. The average restaurant meal costs you 5 times the cost of eating that same meal at home. When we take our kids to the zoo, I see people ordering $8 “cardboard” burgers and leaving half of what they bought on their tray. We pack our lunch prior to heading out, and enjoy fresh, healthy foods. Frugal people see dining out as a special occasion, such as a date night. Another aspect of eating out to consider is the health cost. Most restaurants load food with sodium, and if you’re dining at chains, more likely than not, they’re pulling those dishes, pre-packaged and processed, out of bags. Bon appetit!
6. Meal plan. By planning your meals ahead for the week, you are without a doubt going to save on your grocery bill. Otherwise, you’ll be aimlessly walking through the aisles grabbing whatever looks good. One of my favorite things to prepare ahead for breakfast are overnight oats! I am a very busy guy with a full-time job and 3 kids. By prepping things ahead that I can grab, I can ensure that I don’t get hangry throughout the day. You can find meal prep ideas online at several sites. Some people take part of the day on a weekend to get everything prepped which saves time and energy throughout the week.
7. Save on groceries. Outside of couponing and meal planning, there are ways to save significantly on groceries. One of those ways is doing your base shopping at a place like Aldi. Their prices are extremely low compared to other grocers. When Aldi first launched in the U.S., I was not a big fan. Since that time, however, they have upped their game. You can save big by shopping Aldi first, then filling in what’s needed elsewhere. We buy things like organic produce, cooking oils (grapeseed, Avocado), canned goods, frozen produce, snacks, bread and many other items here. And they pay their staff extremely well (53% above the national average). Another thing to consider is the Flashfood app if available in your area. Meijer is one grocery store that participates in the app. When something is within a week of expiration in the store, they offer the merchandise (often at 1/2 price) through the app. You purchase it, then pick it up. I always make a habit of checking the app before I make my grocery run.
8. Move toward a plant-based diet. By cutting down on your meat intake, you are not only reducing your grocery bill, but studies show, a plant-based diet will help you live a longer life. Vegetarian men on average live 10 years longer than meat-eating men; women, 6 years. Changing things up so that you’re eating meat only a couple times a week could make a big difference in your pocketbook and in your health. At least consider starting with a “meatless Monday.”
9. Ditch paper products. This is not only good for your wealth, but is good for the environment. Stay away from paper towel, paper plates, plastic utensils and so forth if you can. By using washable towels around the kitchen, you save money and the environment. If you have a need to use paper products for a birthday or other gathering, head to Dollar Tree!
10. Find low/no cost entertainment. As a parent of young children, one of my favorite places for entertainment is my local library (I wrote about it recently). We rent movies, books, get access to no-cost online subscriptions and also attend organized events. Another thing you can do is Google “free things to do around [your major city]” and you’ll see some ideas. One of my favorite free things I did recently was an organized walking tour around the city of Detroit that was run by an individual who only asked for a small donation. He was a wealth of knowledge. I learned more about the city in 2 hours than ever before after living here several years. Mind = blown.
11. Check on your subscriptions. How many times have you signed up for a free trial only to forget to cancel? If you sign up for a free trial, make sure you set a reminder on your calendar or phone to cancel it (if you don’t want to keep it). We sign up for free trials for channels through Amazon Prime all the time to see certain movies at no cost. One of the things I do is use one credit card account for my utilities and any subscriptions so that everything is all on one card and in easy view. Many credit card companies also allow you to filter charges that are subscription oriented so that you can easily see what’s being charged to your credit card. And if you do have subscriptions you like to keep, negotiate the fees! I just had my annual call with Sirius/XM radio (marked on my calendar) to keep my XM at $4 a month vs. the $18/month they normally charge.
12. Ditch cable. Cable is costly. I know people who are still paying $150/month+ for cable. Internet is a necessity for most households, but cable TV is not (I recently wrote about this). Most things can be streamed these days, but you now have to keep an eye on how much all of those streaming services (Netfliix, Hulu, Prime, Disney+, etc.) cost in total as well so that you aren’t simply replacing the cost of cable with the cost of all sorts of streaming services. Pick and choose what works best for you. There are services, such as Peacock, you can stream free through Roku or other devices. The library also offers access to certain streaming services at no cost.
13. Work out at home. If a gym membership is the thing that gets you motivated to work out, and you stick to it, having that membership might be of value, especially if its a low-cost place like Planet Fitness. You should also check with your health insurance company (especially if you’re on Medicare) to see if your plan includes a free gym membership, like Silver Sneakers. Otherwise, having equipment at home could save you money while also keeping you healthy (avoiding healthcare costs). We have a small gym in our basement with weights and other equipment purchased used from Facebook Marketplace. Since we are busy, having a home gym saves us time…and money.
14. Learn outside of the classroom. Now, more than ever, companies are seeking knowledge and skill. If you have the right skillset, an advanced degree isn’t always a necessity for growth pootential. Services such as Coursera provide access to courses from top universities across the country either free or at a low cost. Additionally, pretty much anything can be learned watching YouTube videos. One of the finalists on the last season of America’s Got Talent learned how to be an aerialist by watching YouTube videos. I’m in the Marketing field. People who are certified in Salesforce software are sought after regularly with companies paying 6-figure salaries. Those skills can be learned through YouTube and those certifications can be earned online through Salesforce. There is no college degree that teaches this that I’m aware.
15. Use telehealth for basic needs. When you’re sick, your instant reaction might be to head up to urgent care when your doctor can’t get you in. By using telehealth services such as Amwell or Teledoc (especially if you have a high-deductible plan), you pay a fraction of the cost. And telehealth services are run by doctors who can prescribe any medications you might need. This is especially useful if you can’t get out of the house, are trying to squeeze things in between meetings or you have little ones you don’t want to pack into the car.
16. Choose generic drugs. Choosing generic drugs will save you money. Generic drugs are a fraction of their name-brand counterparts. Additionally, places like Walmart offer a huge list of drugs for $4 for those who don’t have insurance or don’t want to use it.
17. Travel on the cheap. My family has traveled around the world. Whenever we travel, we live like the locals do. We rent a place in a residential area, we scope out where the grocery stores are, we make most meals in our rental house/condo, and we don’t get caught in the tourist traps. We are NOT cruise people, but we took a Mediterranean cruise a few years back after careful thought, because it allowed us to visit 3 countries and 3 islands all in one trip with food included for a family of 4 at a cost much cheaper than traveling by air/land across the countries. Right before COVID hit, we had a trip to Portugal planned for our family which was less costly than our annual trip to Florida. Traveling abroad is cheaper than you think if you plan accordingly. We live near Canada, and our upcoming flight to Hawaii is less than half the price (for a direct flight) by flying out of Toronto vs. Detroit. This saved us thousands!
18. Shop purposefully vs. browsing. Frugal people window shop. They also shop with intent. By shopping with no plan in mind, you are more likely to spend more money than what you want. By spending mindfully, you are asking yourself if what you’re doing is a need or a want. By having a list of things you need, your shopping trip becomes more of a mission, which also saves you time. Time is money.
19. Battle late fees. I have been a credit card holder for nearly 25 years. Over that time, I have accidentally missed payments only to find that they’ve charged me not only a late fee, but interest charges as well. I have always battled late fees. Overall, I know that I’m a responsible person, so I call, remain polite, explain how long I’ve been a customer, let the customer service person know how much I use my card, how much it has meant for them in merchant fees (retailers pay a percentage of charges to the credit card companies) and politely ask them to remove the charges. It has worked every single time.
20. Stop smoking and reduce alcohol consumption. You might be saying to yourself, “this Good for Your Wealth blog is no fun” at this point. By quitting or reducing your vices, however, you are doing a number of things. You are savings lots of money. You are living a healthier lifestyle, which will lead to your longevity and also reduced health care bills. You are also choosing to be a good example for your family. And, you are choosing to be happy and free without the need for the vices. I smoked earlier in my life, so I understand how addicting it can be. With alcohol, the culture in our country revolves around it. It is almost stigmatized for people who choose not to drink. I am currently at a stage where I have reduced my alcohol consumption. My wife and I do not drink at home, but I do meet friends a couple times a month for a couple beers. I find that I treasure it more when it is less frequent. I am actually considering stopping altogether at some point. I will write about this topic in more detail at some point soon.
21. Make your own cleaning products. My wife used to own a very successful eco-friendly cleaning business. One of the things she did was make her own cleaning products. It is very difficult to find cleaning products that aren’t loaded with a bunch of chemicals unless you make them. Even companies that claim to be eco-friendly are not necessarily. You can make your own laundry soap, dishwasher detergent and cleaning spray with very simple ingredients. Best of all, you save money and reduce all of the plastics you’re buying by reusing spray bottles and other containers. Recycling is not what you think it is. Many of the things you recycle don’t actually get recycled.
22. Ditch debt. Frugal people avoid debt. If you can’t afford it, don’t buy it. By piling things onto a credit card, you are paying much more for your purchase than the original price. Additionally, costly loans for things like cars, campers and other toys eat into your other living expenses and your savings power. Remember, saving isn’t about being “miserly,” it is about reserving money so that you have freedom and choices. Your savings represent your independence. If you have debt, start with the highest interest rates first, pay those off, and work your way down.
23. Minimize your wardrobe. Both minimizing your wardrobe and buying certain clothes second hand will lead you to greater savings. I have been working from home for the past two years. My wardrobe is now focused on a series of athletic pants, t-shirts, sweat shirts, and the occasional collared shirt when I need “business on top” for certain Zoom meetings. I love it and now find myself irritated when I have to throw on a pair of jeans. I know that some people are into fashion. I actually appreciate it and partake myself. There are ways to do fashion, including a capsule wardobe or a minimalist wardrobe on a budget. Additionally, by seeking out certain high-quality used pieces of clothing at Salvation Army, Facebook Marketplace, Poshmark or other services, you are saving money while also treading more lightly on the environment with that “reuse” part of the 3 Rs you learned in school. Low-quality “throwaway clothes” often have a human cost associated with them as well, and its important to be aware of that impact.
24. Drink water. Water is the healthiest beverage we can drink. It flushes our system out most effectively. Sugary drinks, like soda, are not only costly, but these are the very things that have led our country to be one of the top diabetic countries in the world. Drinking filtered water from the tap is the most economical choice. Purchasing bottled water from the store can be tempting due to its convenience, but it is wasteful in so many ways. Those plastic bottles have to be manufactured. They get packaged up and sit in the heat of the sun, leaching whatever chemicals into the water, then that water has to travel in large trucks, using resources, to get to the store. What did we do before bottled water was a thing? If you have a home that delivers water through pipes and into a faucet, drinking that water is the best thing you can do. Purchase a high-quality filter. You may even want to consider a whole-house filter. I personally have a Pur filter built into my refrigerator and drink several ounces of water a day.
25. Use less. We all (hopefully) brush our teeth. Do you know the appropriate, healthy amount of toothpaste to use? I guarantee most of you are using too much. The safe amount is a pea-sized portion for adults. It also is not the toothpaste that does the work, it is the brush. I use this example, because there are many things in our lives we are overusing. That causes you to have to replenish more often, costing you more money. Think about other areas where you might be able to use less.
26. Negotiate. Other countries are big on negotiation in places like retail stores. It is part of life. In the U.S. there are also plenty of opportunities to negotiate. Negotiating does more than fatten your wallet; it boosts your confidence. By speaking up and being firm, you are exercising your confidence (and it is often with strangers who you’ll never meet again anyway). When I make purchases on Facebook Marketplace, for example, I always negotiate. And people are more often than not, willing to bend on their price.
27. Adjust your thermostat and turn off lights. We scored two Nest thermostats a couple of years ago for FREE from our local utility companies. Check with your electric and/or gas utility company to see what they have to offer. The utility companies receive funding from the federal government to run these types of programs, but often, people aren’t aware of them. By having a learning thermostat, such as a Nest, your utility bills will see a reduction. Both our electric and gas bills have come down about 15% ever since installing these thermostats. When we are not home, the thermostats automatically detect that and go into an economy mode. We can also remotely adjust as needed which is helpful when we take winter vacations and want to make sure the pipes don’t freeze! Lights are also important. Switch as many bulbs as you can to LED. Your electric company may even offer free bulbs. And when you’re not in a room, turn lights off. When you’re not using an appliance, unplug it, as it still draws energy even if off.
28. Go generic on your cell phone service. About 3-4 years ago, we left Verizon behind and moved to Total Wireless. We are paying a fraction of what we did with Verizon, but Total uses the same exact Verizon towers. The difference? The name and the price (use code JIUJ-CA0D to get a free month of service). Other popular low-cost services include Mint, Google Fi, and Cricket. With the plethora of options out there, I find that there is no reason to stick with the big carrier.
29. Work from home. If you have the ability to work from home, take it. Doing so saves you commute time, gas, lunch/coffee, clothing and other expenses. Working from home also gives you greater flexibility to get things done that you might normally need to take the weekend to do. For instance, during lunch, I grab a very quick bite and mow my lawn so that I don’t have to take my weekend to do it. I am also able to get exercise by walking my dogs during the day.
30. Care for yourself. Self care is one of the most important things you can do for yourself. Without a healthy you, there is no point in gaining financial independence. Our buckets can get depleted quickly if we don’t find ways to fill them back up. Adulting is hard! If you’re a parent of young children, it is ok to ask your partner for a break and take a walk through nature. If you have a stressful job, take 15 minutes to listen to a meditation during the day. The point is, you are your #1 investment. Keep putting eggs in that basket.

Try being frugal

I provided a number of ideas to think about being more frugal. Some, you may already be doing today, others may be new. Some may be more extreme than you want to go for now. By trying new approaches and testing out more ways you can be frugal in your daily life, you decrease the amount of your money going out the door. Living intentionally will lead to greater financial independence, and that is “Good for Your Wealth.”