24 Things Frugal People Do (That You Aren’t Doing and Should!)

Frugality shouldn’t carry the negative connotations it often does, as it’s been unfairly linked to notions of cheapness. But in reality, being frugal doesn’t equate to being miserly.

Instead, a frugal individual carefully monitors their expenditures and avoids unnecessary debt. Interestingly, this trait is commonly found among many millionaires.


Thomas Corley, who dedicated five years to studying the habits of wealthy individuals, reveals that prosperity emerges from shunning lifestyle inflation and embracing frugality. This is evidenced by 64% of the millionaires he surveyed describing their homes as unpretentious. All of them owned their residences, with 56% having possessed them for over two decades. A majority, 55%, opt for used cars.

Even in their leisure moments, these millionaires adhere to a frugal philosophy. A staggering 96% reported spending less than $6,000 annually on vacations, while 41% kept it under $3,000. Moreover, a substantial 84% claimed they had never dabbled in gambling.


To cultivate a frugal mindset, consider asking yourself a fundamental question: “Could I save money here by investing a bit more effort or making a small sacrifice?” In a world rife with enticements, adopting a frugal perspective can serve as a valuable asset in the realm of American consumerism.

For those seeking a starting point, here’s a compilation of 25 frugal practices that might not be on your radar yet, but absolutely should be.

1. Admit that you need a budget.

Facing reality head-on: Budgeting is a non-negotiable if you’re aiming for financial success.

Though budgeting might not rank high on the fun scale, it’s a cornerstone of effective money management. A budget empowers you to prioritize the essentials and decisively eliminate the excess. Astonishingly, nearly 30% of Americans bypass budgeting, possibly due to a perceived lack of necessity.


Despite its initial intimidation factor, crafting a budget follows a logical process. Moreover, once established, the lion’s share of the effort is already invested, leaving room for minor tweaks as your spending habits or income evolve. To dive in, options abound: utilize online platforms and apps designed for budget creation, or take charge with your personalized spreadsheet.

If budgeting remains a foreign concept, here’s a primer on setting the wheels in motion:

  1. Compute Your Net Income: Calculate your net income, which accounts for your earnings after tax deductions.
  2. Compile Monthly Expenses: Enlist regular expenses such as rent/mortgage payments and entertainment outings.
  3. Categorize Expenses: Group your monthly expenses into fixed and variable categories. Fixed expenses comprise rent, utilities, transportation, insurance, food, and debt payments. Variable expenses encompass elements like gym memberships and dining out costs.
  4. Break Down Monthly Spending: Examine bank and credit card statements to gauge your expenditure patterns.
  5. Match Expenses to Net Income: Align your monthly expenses with your net income. Should expenses surpass earnings, adjust the budget accordingly.

In essence, budgeting isn’t just about numbers on paper. It’s about taking the reins of your financial journey and steering it toward stability and achievement. The initial effort invested in budget creation pays off manifold in the form of empowered spending decisions and heightened financial security. So, embrace the budgeting journey—it’s your pathway to a more prosperous future.

2. Search for deals and discounts.

Frugal individuals have a keen eye for coupons and sales, a knack that significantly bolsters their money-saving prowess. Beyond merely comparing prices, they strategically time their shopping during sales periods and leverage apps that offer enticing cashback rewards. Interestingly, this practice isn’t limited to the everyday; even notable figures such as Warren Buffet, Lady Gaga, Suze Orman, and Carmelo Anthony have been spotted embracing the coupon culture.

In the grocery aisle? Craft your meal plans around the week’s sale items. Elevate your savings by sourcing coupons from your local grocery store’s app, covering everything from frozen vegetables to essential toiletries.


Thinking about an oil change? A swift Google search could unearth digital coupons that cut down the cost.

Dreaming of a hotel stay? Scout for enticing “stay three nights, get one free” offers to enhance your getaway experience.

From household essentials to luxury indulgences, discounts and offers abound—it’s merely a question of uncovering them and seizing the opportunities they present.

By incorporating this frugal approach into their lives, individuals not only curtail expenses but also elevate their overall financial acumen. Each coupon, each sale, each savvy decision culminates in a more secure financial future and a heightened sense of empowerment over one’s finances. So, dive into the world of deals and discounts—there’s a treasure trove waiting to be discovered.

3. Rethink your meals.

Planning meals ahead not only saves time and money through organized shopping lists but also cuts food waste and curbs impulsive buying. Cooking at home is a significant money-saver, especially since Americans spend roughly $3,500 annually eating out—around $300 monthly, as per BLS stats.

Why is this essential? Dining out is costly. Americans eat out 5.9 times weekly, adding up to $3,500 yearly.

Be bold: try new recipes, transform leftovers, and pack work or school lunches.

4. Keep your home clean for a cheap.

The notion persists that a spotless home necessitates pricey laundry detergent, all-purpose cleaners, and various specialized products, resulting in the average four-person American household spending around $680 annually on cleaning supplies.

However, a frugal homemaker understands the power of vinegar, baking soda, borax, washing soda, and Dawn dish detergent as effective, affordable alternatives for various household cleaning needs.

5. Don’t be fooled by “Get Rich Quick” schemes.

Let this sink in: rapid wealth is a myth. The affluent recognize this fact.

Thomas Corley’s research highlights that merely 16% of wealthy individuals engage in weekly sports gambling compared to 52% among the less fortunate. Likewise, a mere 9% of the wealthy play the lottery every week, whereas a staggering 77% of the poor do so.

In essence, chasing quick riches is a futile endeavor. The probability of that occurring is negligible. Instead, channel your efforts into making your money productive—invest wisely or tackle debt proactively.

6. Use every drop wisely.

Frugal individuals maximize product usage, extracting every ounce of toothpaste and face cream. They meticulously empty jars of olive oil and maple syrup, simmer leftover bones into stock, and transform Dijon mustard remnants into vinaigrettes. Even butter wrappers are saved for greasing cake pans.

7. Purchase used items.

Frugal individuals prioritize thrift over new purchases. They frequently opt for used items, reaping substantial savings. Online platforms, garage sales, and thrift stores offer a treasure trove of options.


Their money-saving strategy entails scouring thrift stores, ReStores, local auctions, consignment shops, and online swap platforms like Craigslist and Freecycle before considering new purchases. Their approach leans toward not buying new by default. If unable to locate desired items, they practice patience or make a purchase only when necessary.

8. Do-it-yourself (DIY).

Frugal individuals tend to be resourceful and self-sufficient. They often handle tasks independently, from fixing cars and painting homes to cutting their own hair and crafting furniture. This self-reliance translates to substantial savings on labor expenses.

9. Understand that time is money.

While the previous advice holds true for many situations, there are instances when outsourcing is more financially sensible than a DIY approach.

Individuals possess diverse skill sets. For instance, calling a plumber becomes imperative when a leaky faucet turns into an unstoppable deluge.

10. Price match.

Though significant purchases are sporadic, they can substantially deplete budgets, hindering savings. Whether it’s a new car, refrigerator, home repair, or a family vacation, the reward lies in diligent research.


Frugal individuals, when faced with substantial purchases, prioritize thorough research over hasty decisions. The initial choice isn’t always the best one. By comparing prices and options across various retailers, substantial discounts can often be found.

This method unveils coupon codes, discounts, and even price matching opportunities that slash costs. If terms don’t align, frugal shoppers aren’t hesitant to negotiate or walk away. This unwavering approach can lead to substantial savings.

11. Combine errands.

Even with reduced gas prices, consolidating errands remains crucial. Maximizing efficiency by grouping tasks in one area continues to save gas, money, and time. For instance, a trip to the grocery store might also include dropping off dry cleaning or getting a haircut—all in a single outing.

12. Make friends with like-minded people.

The presence of a habitual overspender can swiftly derail savings objectives. Conversely, forging alliances with frugal companions fosters accountability, shared wisdom, and adherence to financial goals.


In addition, tapping into your circle can amplify savings potential:

  1. Leverage Group Rates: Opt for group rates for movie outings or vacations, capitalizing on collective savings.
  2. Grocery Shop Together: Bulk buying as a group trims costs compared to individual purchases.
  3. Host Potlucks: Swap going out for hosting a potluck dinner, where everyone contributes a dish.
  4. Embrace Possession Swaps: Instead of buying, swap items like books or clothes among friends.
  5. Fuel Savings through Competition: Ignite motivation by turning saving into a friendly competition, yielding impressive results.

Harnessing the power of friendship not only fosters financial growth but also cultivates a supportive network committed to mutual financial success.

13. Trade services with others.

If you have a friend with a flair for cooking, consider tapping into their expertise for a family event instead of hiring a caterer. Likewise, neighbors skilled in car repairs or household tasks can provide valuable assistance.

To ensure a balanced dynamic, reciprocate the favor. Offer to help with tasks like babysitting or other thoughtful gestures in return for their assistance. This cultivates a supportive, mutually beneficial relationship.

14. Engage in low- and no-cost hobbies.

The pursuit of fun needn’t break the bank. Frugal individuals excel at finding enjoyable alternatives without hefty price tags.

Uncover low- to no-cost hobbies:

  1. Reading: Borrow from your local library or access free e-books via library apps.
  2. Walking: Lace up and stroll around your block or through a nearby park.
  3. Podcasts: Countless podcasts cater to every interest imaginable.
  4. Meditation: Guided meditation is easily accessible via free apps and YouTube.
  5. Games: Board games and cards provide enduring entertainment, even if the initial cost is higher.
  6. Volunteering: Contribute to your community and forge new connections through volunteer work.

Discovering wallet-friendly pursuits enriches your leisure time without straining your finances.

15. Invest in quality products.

Opting for quality over quantity pays off in the long run. I willingly invest a bit more for durable items that won’t require frequent replacement. This means favoring trusted brands known for their excellence. I’m committed to using these top-tier brands, even if it entails paying full price.

Rather than compromising on a mattress, I prioritize quality and invest a little extra. A premium mattress not only enhances sleep quality but also alleviates pressure on the back, neck, and joints.

16. Saving on utilities.

Trimming utility bills is a top priority for frugal individuals, especially since the U.S. Energy Department notes an average yearly utility spend of nearly $1,400 per family.

The silver lining? You have multiple avenues to curtail utility costs. Here’s a head start:

  • Power down lights when not needed.
  • Transition to energy-saving CFLs and LED bulbs.
  • Unplug electronics when idle.
  • Replace air filters every 60 to 90 days.
  • Employ a programmable thermostat.
  • Upgrade to energy-efficient appliances.
  • Seal air leaks around doors and windows.

Each step contributes to substantial savings while fostering a more eco-conscious lifestyle.

17. Know when to buy in bulk.

I advocate for unit price comparisons whenever feasible. Often, the smallest container isn’t the best value.

Bulk purchases can significantly cut costs for certain items, like paper products. Conversely, stockpiling perishable produce isn’t as wise an investment.

18. Reuse, recycle, and upcycle.

Extreme frugality finds expression in repurposing and upcycling:

  • Rinse and reuse plastic resealable baggies.
  • Repurpose foil from one casserole dish for the next.
  • Employ glass jelly jars and plastic yogurt containers for food storage.
  • Transform a cottage cheese container into an herb planter.

Balancing frugality is vital; it’s possible to veer into hoarding territory. Keep items with foreseeable use, but discard those that won’t serve a purpose in the future.

19. Never buy a new car.

Opting for a used car with cash eliminates monthly payments. Yet, prudent budgeting is key to tackle unforeseen repairs and upkeep expenses. Used cars usually lack coverage for such costs, and aging vehicles might incur high expenses.

Ultimately, the choice hinges on your preference. Would you rather manage a set monthly vehicle cost, as in a car loan or lease? Are you inclined towards sporadic or more frequent car repair scenarios?

20. Travel on a budget.

Embracing budget-friendly travel tops my frugal living advice, offering both savings and global exploration.

Pick the off-season for travel and choose accommodations with kitchens for self-prepared meals. Slash costs with discounted airfare deals. Instead of splurging on souvenirs, capture memories through photographs. This way, you not only see the world but also protect your wallet.

21. Think about tomorrow.

“I’m not chasing the latest cars or the biggest house,” shared Emmy-nominated actor Anthony Anderson with Kiplinger.com. “I aim for a moderate house on the best block.”

This outlook echoes his parents’ emphasis on future planning. Anderson advocates a forward-thinking approach, directing funds into accounts for future financial security rather than immediate indulgences.

Frugal individuals not only save but also astutely invest. Prioritizing savings for retirement, education, and upcoming milestones underscores their financial acumen and forward-looking mindset.

22. Examine your bank statements.

Much like counting calories in a weight-loss plan, monitoring spending is crucial for frugality. Yet, while it seems intuitive, many overlook this aspect of their finances.

Analyze your expenses by printing out statements and highlighting notable outlays. Trim unused streaming subscriptions and cut back on unnecessary spending, similar to reining in Starbucks expenses.

Attempting frugality without assessing spending mirrors pursuing weight loss without evaluating one’s diet—a potentially futile endeavor.

23. Keep your bills to a minimum.

While not all bills are negotiable, focusing on those that are can yield substantial savings. Contact your cable provider to lower your bill or explore transitioning to a free streaming service.

If you predominantly use your cellphone, consider letting go of the landline. Enhance cellphone and car insurance deals by calling to explore available plans. A few minutes spent conversing with a helpful agent can lead to significant savings.

24. Do not carry cash or plastic with you.

Leaving your credit card behind and carrying minimal cash makes it harder to splurge on unnecessary items. Surprisingly, U.S. News & World Report reveals that a significant 86% of non-millionaires who use cash for luxury purchases are attempting to project affluence by buying upscale brands.

Learn from T. Boone Pickens’ approach: tote only the cash you require for planned purchases listed on your shopping list. This strategy curbs debt escalation. If you’re unable to clear your credit card balance or make a cashless purchase, it’s likely you can’t truly afford the item.


Source: entrepreneur.com