As someone who is passionate about achieving FIRE I have learned a thing or two about living frugally. Here are some practical tips that can help you save money, reduce expenses, and live more comfortably on less:
Track Your Expenses The first step to living frugally is to track your expenses. Write down everything you spend money on for a month to see where your money is going. This will help you identify areas where you can cut back and make adjustments. Personally, I use Excel sheets to track it, but something is better than nothing. Give yourself a baseline and try to stick to it. Once you have an idea of your spending habits, create a budget that works for you. Be realistic and take into account any debts or financial obligations you may have. Make sure to include a category for savings and emergency funds.
Live Below Your Means The key to frugal living is to live below your means. This means spending less than you earn and saving or investing the difference. Avoid buying things you don't need and find ways to reduce your expenses.
Cook at Home Eating out can be expensive, so try to cook as much as possible. Plan your meals for the week, shop for groceries in bulk, and prepare meals in advance to save time and money.
Cancel Unused Subscriptions Take stock of your subscriptions and cancel any that you don't use. This includes streaming services, gym memberships, and magazine subscriptions.
Shop Secondhand Shopping secondhand can be a great way to save money on clothing, furniture, and other items. Visit thrift stores, consignment shops, or online marketplaces for affordable options. Facebook Marketplace is another great place to find goodies that you wouldn't normally find at Goodwill or on Craigslist.
DIY and Repurpose Consider DIY projects instead of hiring professionals to save money. Also, think about repurposing items you already have instead of buying new ones. For example, use old jars as storage containers or turn an old t-shirt into a reusable bag.
Use Coupons and Discounts Take advantage of coupons, discounts, and cashback offers when shopping online or in-store. Download apps like RetailMeNot or Honey to find deals and discounts for your favorite brands.
Shop in Bulk Buy items in bulk when possible to save money on groceries and other household items. Just make sure you have enough storage space and that the items won't go bad before you can use them. Sams Club, Costco, BJs, bulk deals on paper towels, toilet paper, laundry detergent, and other homegoods. These can be 5x cheaper than buying than the grocery story.
Avoid Impulse Buys Be mindful of your purchases and avoid buying things on impulse. Think twice before making a purchase, and ask yourself if it's really necessary. Do you want the latest iPhone or Galaxy phone every year? But do you need it? This isnt 2007 where they were adding huge features year over year, very much incremental at this point. Save your money and upgrade every couple years. Combine it with trade in to reduce the cost of the next phone.
Invest in Quality Over Quantity Instead of buying cheap, low-quality items that may break or wear out quickly, invest in higher-quality products that will last longer. This can save you money in the long run.
By following these frugal living tips, you can save money, reduce expenses, and work towards financial independence and retirement early. Remember, every small change can add up to make a big difference in your financial future