Being frugal is a way of life for many families whether or not the economy is tumbling. But these hard economic times have made frugality almost cool. The good news is that everyone has the ability to be smart with money. Adopting this mindset is a matter of discipline and attitude.
The Definition of “Frugal”
According to The Free Dictionary, one definition of frugal is “costing little; inexpensive.” Translated into action, this means a frugal person strives to spend as little money as possible.
A frugal person doesn’t spend more than necessary on the necessities of life, and a frugal person opts to not spend money when given a choice (like whether to see a movie versus taking a walk in the park). Frugal people aren’t cheap, stingy, or miserly; they are simply careful with their hard-earned money.
Learning about Frugal Living
So, what if you’ve always spent as you pleased without giving a second thought to creating a budget?
Before you dive head first into cost-saving measures, consider researching the concept of frugal living. A good place to start is an online forum, perhaps even a local one, where people discuss ways to save money and live on less. Next, consider evaluating your attitude towards money. Before you begin this journey, it would be helpful to understand why you spend money in the first place.
As you learn about living on less, consider what will work for your family. What exactly are you willing to give up, and what do you consider an affordable luxury?
As you reflect on your relationship with money, questions to ask yourself include “Why do I spend money?” and “Is it spent on wants or needs?” A particularly good book to read on this subject is Your Money or Your Life (ISBN: 0-670-84331-8). In this book, authors Joe Dominguez and Vicki Robin make readers ask themselves reflective questions like “How much money is enough money?” and “Are you at peace with money?”
The Frugal Lifestyle
Being frugal isn’t something you just do, it’s a way of life. This article hopefully sheds some light on where to start your journey. Anyone interested in becoming frugal can get started today by researching the lifestyle and examining their relationship with money.
Resource:
Your Money or Your Life: Transforming Your Relationship with Money and Achieving Financial Independence. Authors: Joe Dominguez and Vicki Robin. ISBN: 0-670-84331-8.
Lena Gott - Lena Gott is a Certified Public Accountant who gives practical financial advice to her readers.
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