If you find yourself constantly scrambling to cover all your expenses, it might be time to examine how frugal people manage their finances.
Many of us miss out on simple, effective ways to cut costs — not because they’re complicated, but because we don’t know where to start.
In this guide, you’ll gain insights into things frugal people do that you probably don’t. Let’s begin!
1. Negotiating Bills
If you’re tired of high monthly bills, negotiate! Frugal people often bargain their bills to save money.
For example, by simply refusing initial offers and comparing competitors’ prices, you can greatly reduce your internet or cable bills.
Some other bills you can negotiate are rent, insurance premiums, and credit card interest rates.
Always look for competitive rates and negotiate prices so you can reduce your financial burdens monthly!
2. Cooking Meals at Home Instead of Dining Out
Cooking at home offers control over your health and wallet.
By preparing your meals, you use healthier, higher-quality ingredients than what’s often found in restaurants.
You’ll also be able to save more since you have the option to plan your meals weekly.
You can go shopping for ingredients and supplies in a single trip to the wet market and even haggle with the vendors for a discounted price.
3. Comparing Prices Before Making Purchases
Always comparing prices is a key habit among frugal individuals.
No matter what they buy, they check different retailers to ensure they get the best deals.
Personally, I also compare the prices of items available in physical stores to Amazon.
Amazon offers discounts and free shipping options, especially if you buy in bulk. This translates to higher savings in the long run!
4. Shopping With a List to Avoid Impulse Buys
Sticking to a shopping list is a powerful tool for frugal individuals to avoid impulse buys.
Pro Tip: Shop on a full stomach!
Research shows that hunger can increase the likelihood of unnecessary purchases, leading to overspending.
5. Using Everything to the Last Drop
Frugal people make sure to use products down to the last drop.
Speaking of which, I’ve become the type who squeezes every bit of shampoo, cleans out containers, and even adds water to ensure nothing goes to waste!
I’ll dig out the remnants of lip balm tubes, too.
But if something starts smelling funny, doesn’t work well, or gives me a reaction, it’s straight into the trash without a second thought.
6. Choosing an Affordable Cell Phone Plan
Frugal individuals always hunt for the best cell phone plans to minimize costs without sacrificing service quality.
After feeling the strain of high monthly bills, I researched and switched to Visible under Verizon’s network.
For just $25 a month, I got solid coverage, unlimited data, and hotspot access.
7. Cutting Back on Subscriptions
It’s super important to conquer the fear of missing out (FOMO) when trimming down subscriptions!
Frugal people assess which services truly add value to their lives and aren’t afraid to cancel those that don’t.
If you can’t really cut back on specific subscriptions, opt for annual plans instead of monthly subscriptions.
Most companies offer discounted prices if you commit to their products or services annually.
8. Being Open to Non-brand Items
Don’t shy away from generic brands when shopping.
Frugal individuals often find that these products offer the same quality as name brands at a fraction of the cost.
Pro Tip: Check out the Dollar Tree near you!
There are quite a number of non-brand items you can snag at dollar stores, including household essentials, party supplies, and more!
Here’s a handy list we created to make your Dollar Tree shopping experience better!
9. Repairing Instead of Replacing
Before rushing to replace a broken item, frugal people explore repair options first.
Whether it be electronics, clothing, or appliances, considering repair can definitely cut costs and support a more sustainable lifestyle.
10. Using Coupons and Taking Advantage of Cashback Apps
Frugal individuals boost their savings by using coupons and cashback apps effectively.
I’ve personally saved a ton by embracing Rakuten. It’s been a game-changer with its easy-to-use Chrome extension.
Starting with a free 10% bonus just for signing up made it even sweeter. It feels great to watch the savings stack up with every purchase I make.
11. Buying in Bulk When Cost-Effective
Frugal shoppers often buy in bulk, but only when it’s cost-effective.
A prime example is paper products, which typically offer substantial savings when purchased in larger quantities.
Buying in bulk also applies if you’re a mom like me! Buying diapers, wipes, and other baby essentials in batches actually provides greater savings!
12. Avoiding Purchasing Items Just to Impress Others
Instead of chasing trends, savvy savers focus on practicality and long-term value.
So, skip the pressure to keep up with the Joneses and embrace a more mindful approach to spending.
Pro Tip: Practice the one-in, one-out rule to keep clutter at bay.
13. Tracking Bills and Expenses Meticulously
Without a doubt, frugal individuals are pros at keeping tabs on every little thing.
They log every purchase they make, whether it be using Google Sheets or an app.
Pro Tip: Use You Need a Budget (YNAB) for seamless management!
With YNAB, I’ve taken control of my finances, saved for vacations, and even slashed my debt.
14. Shopping Secondhand
If you’re looking to save big, shop secondhand! Frugal folks swear by used goods for significant savings.
Hence, embrace the thrift store treasure hunt and watch your wallet thank you.
Some of my go-to’s when shopping secondhand are Facebook Marketplace, garage sales, and flea markets.
15. Constantly Looking for New Ways to Be More Frugal
Feel like you’ve heard it before? But yes, never stop learning.
Frugal people are always on the lookout for new ways to save. From DIY hacks to budgeting strategies, there’s always something to discover!
For more frugal living tips, check out our articles on things frugal people never do, money habits of frugal people, and ways to cut household expenses.
These articles are packed with practical advice to help you save money and live a more frugal lifestyle!
16. Understanding That Time Is Money
Time is money, as the saying goes.
Frugal individuals value their time just as much as their dollars. They understand that every moment wasted is a potential loss.
That said, they manage their schedules wisely.
They also strategically invest in items or services that free up their time for other income-generating activities.
17. Reusing and Repurposing Old Items
Before you toss old items, think twice. Frugal people don’t rush to throw things away. They find ways to reuse and repurpose!
Who knows, you might stumble upon a side hustle in the process, such as selling crafts made from recycled materials.
If you’re not interested in selling your used items, donate them to friends or relatives who may need them.
This way, you’re extending the life of the items, too!
18. Embracing DIY Projects
Unlock your inner creativity and embrace Do-It-Yourself (DIY) projects!
Look around your home; you may have unused materials waiting to be transformed.
Frugal individuals save money by making their own decorations and gifts.
Additionally, DIY-ing can significantly reduce costs compared to hiring professionals.
19. Selling Unused and Unwanted Items Online
Clear the clutter and make money by selling unused items online.
From clothes to electronics, turn your unwanted items into someone else’s treasure and pad your wallet in the process.
Pro Tip: Utilize platforms like Facebook Marketplace for easy transactions.
Just remember to price your items a bit higher to allow room for negotiation.
20. Trading Services With Friends
Save money by trading services with friends instead of hiring costly professionals.
Interestingly, frugal folks exchange skills like gardening for tutoring, pet-sitting for handyman work, or bartering homemade meals for house cleaning.
21. Using Leftovers Creatively to Minimize Food Waste
Maximize your groceries and minimize waste by getting creative with leftovers!
You can turn yesterday’s dinner into today’s new meal. For one thing, transform roast chicken into tacos or veggies into a hearty soup.
Another great option is baking overripe bananas into delicious banana bread. You see the possibilities — exciting!
22. Learning From Financial Mistakes
Everyone makes financial mistakes — after all, it’s part of life. But frugal individuals welcome their missteps as learning opportunities.
They analyze, adapt, and grow by reflecting on what went wrong with their finances.
Moreover, they seek advice from financial advisors so they can avoid similar mistakes in the future.
23. Practicing Preventative Healthcare
Regular checkups are crucial for savvy spenders.
By investing in your health today, you can dodge expensive medical bills along the way.
Additionally, staying informed about your health status allows you to address issues early and prevent long-term health expenses.
24. Trying Minimalism to Focus on What’s Essential
Don’t fear downsizing, and try minimalism. Remember that frugal people focus on what’s only important.
Thus, simplify your life by decluttering your home, wardrobe, and commitments.
This philosophy can help you save money and reduce stress!
25. Choosing Hobbies That Are Low-Cost or Free
Find affordable or no-cost hobbies for fun!
For instance, you can rediscover board games for home entertainment or engage in local community activities.
Moreover, make the most of your local library for free access to books, movies, and audiobooks.
You don’t need to break the bank to have a good time!
26. Planning and Setting Realistic Financial Goals for the Future
When it comes to financial goals, frugal folks keep it real. They avoid grand plans to prevent disappointment down the road.
Specifically, they set achievable targets, like saving a certain amount each month or paying off debt gradually.
Were there any tips that resonated with you, or do you have other cost-cutting strategies that work wonders?
Feel free to share your thoughts, questions, or additional ideas in the comments below!
