Where do you draw the line between frugal vs cheap? How can you determine the difference? Often thought of as the same thing, many people assume being frugal or cheap means being deprived and not enjoying life. If someone mentions the word frugal to you, you possibly conjure images of someone duct taping their shoes to fix them or some of the people you’d find on the infamous show Extreme Cheapskates.
Now I won’t lie, I love that show and watched it pen and paper in hand in the hope of picking up some tips. But, often they were too extreme…even for me. I will never be someone that goes to a restaurant with a box ready to pick up other people’s leftovers and I certainly would never drain a bar mat into a glass for a free drink. Seriously, if you haven’t watched the show, you need to!
So What is Frugal?
Simply put, being frugal is getting good value for money. Being intentional and mindful with your spending and weighing up the pros and cons when buying an item. Frugal often means buying better quality and actually spending more in order to get something that lasts and saves money in the long run. Frugal means still being able to enjoy life, but finding resourceful ways to save and rejecting spending as a hobby.
How Does Being Cheap Differ?
Being cheap is doing anything so as not to spend money. I think the general rule of thumb is if it negatively impacts your quality of life- such as the health risks of eating food from a strangers plate- it is considered cheap. Buying the cheapest shoes, even if they cut your feet up and only last a couple of months because you don’t want to shell out for better quality that will last. Cheap can often in fact end up costing more in the long run! Cheap is depriving yourself.
Frugal vs Cheap, Why Bother with Either?
The reasons for choosing to be frugal or cheap will vary from person to person and for many there is no choice at all. Personally, I have many reasons to choose a frugal lifestyle, but mostly I like the freedom and prefer the peace of mind of being debt free over buying stuff I don’t really need.