Saturday, February 9, 2013

Frugal VS Cheap

Everyone has an idea in their mind of what they consider frugal or cheap, but these two words are not the same.
A cheap person is a person that is cheap for the sake of not spending money. 
Being frugal is a way of life, you save money on most things, so you can spend it on something else. 
You buy things that are necessary, and do with what you have.

As Wikepedia describes frugality:

Frugality is the quality of being frugal, sparing, thrifty, prudent or economical in the use of consumable resources such as foodtime or money, and avoiding waste, lavishness or extravagance.
In behavioral science, frugality has been defined as the tendency to acquire goods and services in a restrained manner, and resourceful use of already owned economic goods and services, to achieve a longer term goal.
Common strategies of frugality include the reduction of waste, curbing costly habits, suppressing instant gratification by means of fiscal self-restraint, seeking efficiency, avoiding traps, defying expensive social norms, embracing cost-free options, using barter, and staying well-informed about local circumstances and both market and product/service realities.  Frugal living is mainly practiced by those who aim to cut expenses, have more money, and get the most they possibly can from their money.

My way of frugal living is 
cooking from scratch, 
(Favorite recipes)
shop sales, 
(9 ways to lower your grocery bill)
buy second hand, 
cloth diapering, 
(Drying laundry for $1 a year)
air drying clothing,
using a basic cell phone plan, 
watch shows on the internet (no cable),
using Library resources (books and DVDs),
and repair what I can. 
(Modify cabinets project)
-aka fixin', if you live in the South-

Frugal people are not stingy.
Frugal people are not cheap.

Living a frugal life is the only way we can afford for me to stay at home with our children, as a one income family, and for us to be able to fly to Italy every other year
(to see my people).

Stay Frugal,

Linking to
The Frugal Girls


Deneen@dreaming-n-color said...

It is great when you can do things frugally and save for something special. Good for you!

Art and Sand said...

I think it is more than just you being able to stay at home and to fly to Italy.

I think there would be a lot less problems in this country if people (and the government) lived within their means. We have always tried to live below our means. That has meant we pay ourselves first (savings) and don't live from paycheck to paycheck. We know people who earn far more money than us, but they live far beyond their means.

Now, in just 116 days, I am able to retire because we lived frugally. I will be able to be at home playing in my garden and creating in the studio because I never wore designer clothes and don't have flashy jewelry.
But, I have had a wonderful time getting to this point.

Keep living frugally!

Meredith @ The Laundry Can Wait said...

Yes, there IS a difference indeed. Your post captures this well. Living frugally can actually be fun in some ways!


Meredith @ The Laundry Can Wait said...

Yes, there IS a difference indeed. Your post captures this well. Living frugally can actually be fun in some ways!


Meredith @ The Laundry Can Wait said...

Yes, there IS a difference indeed. Your post captures this well. Living frugally can actually be fun in some ways!


Meredith @ The Laundry Can Wait said...

Yes, there IS a difference indeed. Your post captures this well. Living frugally can actually be fun in some ways!


Anonymous said...

So true, Daniela! I love everything Art and Sand said in her comment too. I think a lot of it comes down to having our priorities straight and not caving into what "society" thinks we should be doing or spending our money on. Great post!!

Debbiedoos said...

And you sure are doing it right!

Kelly said...

Those are some good tips and a good clarification of what both of those mean. I know both "cheap" people and "frugal"! It's great that you're able to identify ways that you can save money so your dollars can go farther.

Something Nice and Pretty said...

I so agree, there is a difference in being cheap and frugal.How smart you are to want to be frugal and help in being able to stay home with your children! Great post!

Cristina Garay said...

I totally agree with you, Daniela! It works almost the same way for me.

Anonymous said...

Daniela,and all you friends ahead of me here are absolutely right. I love what being frugal enables you to do, Daniela. Family has a higher ranking in life than fancy designers and jewelry and the most expensive car, etc.
Love, Janet

Unknown said...

There is a difference indeed! Good for you for caring for your family as affordably as possible. Even better that with the money you save your family is able to travel. My co-workers and friends just sent their daughter on an exchange to Sicily for 4 months. The teen who she is staying with was here for 4 months in late summer/Fall. I think it is wonderful that your children, and these teens, are able to experience travel like that. Wishing you a wonderful week.

Our neighbours might wonder why I am always buying and selling furniture. If they read my blog they would wonder why I get excited over thrift store ironstone. The homes in our area are very expensive and although we both work outside the home, our salaries are not near most of our neighbours. We save where we can by shopping carefully and the occasional furniture flip or refinish makes me a bit more spending money or pays a bill.

Anonymous said...

I think the best definition is the behavioral science one you listed. Restrained manner is the key. I may realize something else would work better in my home than what I currently have, but rushing out to buy what I envision isn't the right way to do that. By waiting a bit and making due, I usually find what I was wanting for nothing or much cheaper and can know I'm giving more life to something unwanted.

My breakfast this morning wasn't something I had ever had before. My dil dropped off some bread she made for the first time yesterday. I had a cup of tea, a slice of bread with honey and it was delicious. Simple and satisfying as most things from a frugal life are to me.

Like you I had cut my expenses way down when I found myself a single mother of two young boys. Some of the time I worked out of the house when they were in school, the rest of the time I was able to work from home and always be available for field trips, a sick child, or just a skinned knee, but it was always the best choice for me and I've never regretted not having gone for the career and the fancier things the money could have bought.

Revi said...

You do it well. Your priorities are in good order. :)

Unknown said...

You are amazing Dani, I love your frugal ideas!

xo, Tanya

Maria Elena said...

Love this post! You are so right! We have lived the same way our whole married life. For many, many years, we were a one income family also, but I was able to stay home with my children, we watched what we spent, were able to save money every month and the best part, we never wanted for anything. Even today, the kids are grown and things are easier, but you will still find me using my coupons every week at the grocery store and I always try to find ways to live well without spending a fortune. Some habits are hard to break. :)Great post!

Amy of While Wearing Heels said...

What a great post and reminder. Your blog is inspiring and hopefully helping many others to live frugally as well...especially after seeing all the beautiful things you make.

Dee ⚜️⚜️⚜️⚜️⚜️ said...

So true Daniela! I like being frugal too. It's so much better to spend money on the fun stuff.

Mindi@MyLove2Create said...

Spoken like a pro! I love this, it makes me happy!

Moe said...

These are such great tips. I already cloth diaper and hang dry my diapers and also buy the majority of Destructo's clothes second hand. If I get to be a stay at home mom, I plan on cutting out eating out plus couponing and I can also line dry a lot more of our clothes.

Unknown said...

Great discussion. The terms frugal and cheap are often used interchangeably, but they actually possess different meanings.