When it comes to money, you could say that I’m a Frugalista. You may be asking, what in the world is a frugalista? A frugalista is a very frugal person.
And let me be clear in saying that there’s a big difference between being frugal and cheap.
Being frugal does not mean that you are a cheapskate. It just means you are more conscious in how you spend your money.
Dictionary.com defines both words:
- Frugal – economical in use or expenditure; prudently saving or sparing; not wasteful: a frugal manager.
- Cheap – costing very little; relatively low in price; inexpensive: a cheap dress.
In other words, a frugal person may purchase a higher priced product to save more in the long run. While someone being cheap is only focused on paying the lowest price. Period.
So I’m all about making value based purchases. Shopping for value may cost you a little more today, but it can save you from making the same purchase over and over again. Plus, when you’re too cheap it could cost you more than money (e.g. comfort, health).
As Warren Buffett once said, “Price is what you pay. Value is what you get.”
Warren Buffett is one of the richest men in the world. He’s a billionaire who happens to be frugal. To read more about Warren Buffett’s frugal habits – check out Warren Buffett’s Frugal, So Why Aren’t You?
Yesterday President Barack Obama honored Warren Buffett with the Presidential Medal of Freedom. Watch the video below to see President Obama joke about Warren Buffett’s thriftiness.
What are your thoughts on the difference between being frugal and cheap?
Kembala,
Can I say Amen?:-)
This is a very wonderful way to distinguish the difference between these two approaches to spending and consumption. In order to become an “educated consumer” it’s important to recognize that quality is not always determined by high price tags. And also, it’s not where you shop, but how you shop that matters. In fact, it is our “perceptions”, not our “possessions” that make us rich.
Thanks for shedding some light!
Jennifer, I agree wholeheartedly with all of your points. You’re absolutely right – “quality is not always determined by high price tags.” Well said or should I say written. 🙂
Thanks for contributing your thoughts and words of wisdom!
My mom would say when she would buy something that was at a really low price, but then breaks/rips easily or doesn’t work anymore…Sometimes cheap is cheap!
Thanks for sharing those words of wisdom Samantha! It just proves once again – that mother knows best. 🙂
Plan for the future, not for the short term.
So you buy something that is better and costs a little more rather than buy something cheaper that will not last as long
The thing that is a little more will last longer, when properly taken care of.
Does this mean that there would be less shopping for ‘Stuff’ just to please ones insatiable need to buy?
Learn the proper way to take care of things and the only way to save is ‘going to the bank’.
I agree with your comparison 100%. Thanks for sharing.
(just a male’s perspective.)
Thanks for sharing you’re insightful male’s perspective Tom! You’re so right on the maintenance front. It’s much less to take care of something than to keep buying. Plus, it keeps more money in the bank. 🙂