There are times when working within a budget in everyday life is a good thing. Perhaps you’re saving for retirement or a vacation. Maybe you’re simply trying to avoid wasting money.
But if you go overboard with finding the cheapest way to do things, you may be steering into overly frugal — dare we say “cheap” — territory.
Frugality may be fine for some budgets or to reach economic goals, but here are a few signs that your frugal spending habits could actually be costing you more in the long run.
If you’re over 50, take advantage of massive discounts and financial resources
Over 50? Join AARP today — because if you’re not a member you could be missing out on huge perks. When you start your membership today, you can get discounts on things like travel, meal deliveries, eyeglasses, prescriptions that aren’t covered by insurance and more.
How to become a member today:
- Go here, select your free gift, and click “Join Today”
- Create your account (important!) by answering a few simple questions
- Start enjoying your discounts and perks!
Important: Start your membership by creating an account here and filling in all of the information (Do not skip this step!) Doing so will allow you to take up 25% off your AARP membership, making it just $12 per year with auto-renewal.
You only buy cheap food
Cheap food doesn’t always mean healthy food. For example, candy, chips, and soda may go on sale more often than eggs or apples.
You might be enticed because some cheap foods have a longer shelf life than fresh foods. But when it comes to eating well, spending a little more for fresher or healthier options may be a good idea.
You’re overstressed
Worrying too much about being frugal could be affecting your health both physically and mentally. Pay attention to signs that you may not be getting enough sleep or are becoming more anxious or depressed.
Instead, try to find ways to relax and unwind a little, or consider talking to a professional if you need help learning how to lower your financial stress.
You’re not maintaining your health
Speaking of your health, you may be skipping out on regular medical visits or haven’t seen a doctor recently because you don’t want to pay for medical care. You also may have opted for less medical insurance to save a few extra dollars.
However, not maintaining regular medical care or health insurance could lead to much higher bills if you’re in an accident or let medical issues linger. Try to see a doctor regularly for any issues that arise — or just for your wellness checkups.
Resolve $10,000 or more of your debt
Credit card debt is suffocating. It constantly weighs on your mind and controls every choice you make. You can end up emotionally and even physically drained from it. And even though you make regular payments, it feels like you can never make any progress because of the interest.
National Debt Relief could help you resolve your credit card debt with an affordable plan that works for you. Just tell them your situation, then find out your debt relief options.1
How to get National Debt Relief to help you resolve your debt: Sign up for a free debt assessment here. (Do not skip this step!) By signing up for a free assessment, National Debt Relief can assist you in settling your debt, but only if you schedule the assessment.
You’re putting off home repairs
Maybe your furnace could use an upgrade, or perhaps your roof is leaking and you’ve decided not to spend money to replace it. These issues could affect your day-to-day living as well as negatively impact your health.
Plus, investing in your home could increase its value if you decide to sell it. That means you might make money later if you’re less frugal now.
You’re skipping auto maintenance
Your car needs regular maintenance, so you shouldn't put off routine oil changes or tire and brake replacements.
Not only may these maintenance issues cause more damage (and more expenses) if you let them linger, but they could also cause your car to be unsafe.
Instead of budgeting your money by not spending it on necessary car maintenance, see if there are ways to save money on car insurance.
Trending Stories
You’re not investing
Due to low-interest rates, the money you’ve saved by being frugal may not be earning much for you.
Instead of having it sit in a savings account making little to no interest, it might be a smarter idea to invest your money elsewhere. If you like the security of savings, seek out a high-yield savings account so you can earn more in interest.
You’re buying sale items you don’t need
If you’re just purchasing something because it’s on sale, you may want to take a moment to reflect on the items you buy.
If you don’t like that particular shirt or those types of foods, don’t waste money on them simply because you get a thrill by nabbing a deal. Instead, save your money to spend on a few nice things you actually want.
You don’t prioritize everyday items
You may be buying cheap socks to save some money, but think about how many times you have to buy more cheap socks to replace the ones that quickly wear out. The same could be true for shoes, clothes, or kitchen items.
The price tag may be lower for the cheaper option, but the cost could add up over time if you have to replace the cheaper items on a more regular basis.
You’re stockpiling too many items
You may have rooms in your home packed with things you bought on sale because you might need them someday. Perhaps you have a pile of free items that could be useful, but you don’t know when.
If you’ve been storing items that still haven’t been used, it may be a good time to sell or give them away. Decluttering your home could also make it a less stressful place to spend time.
Earn cash back on everyday purchases with this rare account
Want to earn cash back on your everyday purchases without using a credit card? With the Discover®️ Cashback Debit Checking account (member FDIC), you can earn 1% cash back on up to $3,000 in debit card purchases each month!2
With no credit check to apply and no monthly fees to worry about, you can earn nearly passive income on purchases you’re making anyway — up to an extra $360 a year!
This rare checking account has other great perks too, like access to your paycheck up to 2 days early with Early Pay, no minimum deposit or monthly balance requirements, over 60K fee-free ATMs, and the ability to add cash to your account at Walmart stores nationwide.
Don’t leave money on the table — it only takes minutes to apply and it won’t impact your credit score.
You don’t have financial goals
Being overly frugal may indicate you’re not great at setting financial goals. It may be a good time for you to sit down with your budget and focus on how to manage your money.
If you want to retire, look into retirement investments and how the money you’re saving could help you in smarter ways. Taking the time to think through your financial goals could help you avoid costly retirement mistakes.
You’re not happy
If you’re constantly upset or frustrated because you aren’t being frugal enough, it may be time to step back and find ways to be happy about the money you do have.
Perhaps allow yourself to splurge on a special trip or outing. Happy goals could help you feel the benefits of all that money you’ve saved.
Bottom line
There are times when you may need to cut back on your spending to fit within your budget, but that could lead to pulling back too much.
Sit down and consider whether you’re being wisely frugal or too frugal, and decide if maybe spending a little extra money here or there may actually be a good thing for you.
There are many ways you can earn extra money so you can comfortably spend a little more.
Lucrative, Flat-Rate Cash Rewards
FinanceBuzz writers and editors score cards based on a number of objective features as well as our expert editorial assessment. Our partners do not influence how we rate products.
Wells Fargo Active Cash® Card
Current Offer
$200 cash rewards bonus after spending $500 in purchases in the first 3 months
Annual Fee
$0
Rewards Rate
Earn unlimited 2% cash rewards on purchases
Benefits
- Low spend threshold for its welcome offer — $200 cash rewards bonus after spending $500 in purchases in the first 3 months
- Cell phone protection benefit (subject to a $25 deductible)
- Can redeem rewards at an ATM for literal cash
Drawbacks
- Foreign transaction fee of 3%
- No bonus categories
- Select “Apply Now” to take advantage of this specific offer and learn more about product features, terms and conditions.
- Earn a $200 cash rewards bonus after spending $500 in purchases in the first 3 months.
- Earn unlimited 2% cash rewards on purchases.
- 0% intro APR for 12 months from account opening on purchases and qualifying balance transfers. 19.74%, 24.74%, or 29.74% Variable APR thereafter; balance transfers made within 120 days qualify for the intro rate and fee of 3% then a BT fee of up to 5%, min: $5.
- $0 annual fee.
- No categories to track or remember and cash rewards don’t expire as long as your account remains open.
- Find tickets to top sports and entertainment events, book travel, make dinner reservations and more with your complimentary 24/7 Visa Signature® Concierge.
- Up to $600 of cell phone protection against damage or theft. Subject to a $25 deductible.
Subscribe Today
Want extra-cash moves to come right to you?
Stop browsing endlessly. Get proven ways to earn pocket money, help cover rent, and crush your debt — sent to your inbox daily.