Do you do it? There are some who cut back on luxuries only when necessity demands. But do we really need all the things we buy? While taking it the extreme could be counterproductive as you'll probably feel the need to splurge from time to time, wouldn't people save more money if they bought only the things they can't do without? For example why spend money eating at restaurants [and tipping] when you could spend less money if you cooked at home? Thoughts?
I don't really eat out at all. Occasionally I will, maybe once or twice a year, but nine times out of ten I cook my own food at home. Not only does it taste better but it's also less money so that's handy. I don't go out to the cinema or anything like that either and haven't done for years. I don't even buy DVDs or pay for TV packages, I just watch movies if they happen to be on standard TV stations. If not, no big deal.
I think cutting back on your luxuries is a great way to save money. For some people, they spend money more than their means. Imagine, they can actually finish one month's salary in one night... And for me, that's not a great way to live. You can live without the luxuries and spending only on the basics. So for me, that has to be food, shelter, electricity, water and internet. All others, I can live with or without them. I have told my husband a thousand times to cut our cable already. We usually don't watch television anyway and if we do, it's with the local networks. So why do we even have cable? Oh, right... His aunt and her son live here and they love that cable. Sigh... Problem is, we are the ones paying for it... Not them. Other luxuries I can think of would be gadgets. For me, I can survive with just my smartphone. Other people have to have two gadgets, a tablet or an iPad and a smartphone. And I think that's just a luxury, not a necessity. Another one would be high-end brands of bags and clothes. I mean, we only need to be clothed, not clothed in ridiculously priced clothes. I'm okay with buying generic brands of clothes or even purchasing from thrift stores and flea markets.
These days I have to do without certain luxuries since I cannot afford them. Eating at home does work out cheaper, of course. However, I see nothing wrong with doing something out of the ordinary once in a while, like going out to a restaurant for lunch to celebrate a birthday or another special occasion. Buying the mere necessities when grocery shopping is okay since it is a money saver, and is a good rule to follow most of the time. However, there are times when you just want to pamper yourself a bit, and buying something extra can give you a lift and take away from the routine way of doing things.
We've been doing without a car for over 20 years now. When I was in high school I thought I'd always have a car. Got accustomed to a car because I have to do without it for I can't afford it. I can't afford my own computer too, so I got to the library to borrow their internet computers like this netbook. It economizes when you do without, yet it's not enough. Don't have a cell phone of any kind too, so you see we do not have any luxuries except we got 2 televisions. One television was given to my Mom from my cousin.
I'm already a senior and so is my husband. We used to be frugal when it comes to luxuries. In fact, I have posted in another thread that we bought dimsum sold in the street of Hongkong to save on food. But that was the years when we were young and trying to save. Now our motto is to satisfy ourselves even with luxuries. However, the luxuries should be practical. Like traveling in business class is impractical for it is like throwing away money. When we travel abroad, where before we always stay in a cheap hotel or inn, now we are searching for a good 5-star hotel with buffet breakfast. Just this weekend, we went to a classy resort which is expensive but worth the cost. So with luxuries, we are not scrimping because we are trying to enjoy what we have... with practicality, of course.
I do this all the time. Whenever I feel like I need to cut back I'll start cutting from the luxury side of my budget. The definition for it for me changes from time to time though I must admit. Sometimes I'll consider something a luxury whereas on another time I'd consider it a necessary indulgence to keep me sane. I think this is the best way to go about it, at least for me, since our moods as people often change and having a rigid list of what is to be considered luxury and which ones shouldn't be may not always be applicable depending on what type of comfort we need at that particular time or circumstance.
Well, it really depends if the person really likes saving in the first place, because if not, then they will still indulge in buying unnecessary things simply because they can afford to do so. I can see myself saving because my budget is tight, but if I had a lot of money to spare then I will also indulge in buying what I want.
My only luxury right now is eating out and I always feel so guilty after I do because I think of the amount of groceries that I could have bought with that same amount of money.
My only luxuries right now are my weekly lunches with my girlfriend and my occasional usage of my air conditioner. I pretty much just eat at home and watch videos on Youtube for entertainment. I am a very frugal person and I do not like to go out much so I am OK with this lifestyle.
