Financial Seasons and the Fallacy of “Extreme Frugality”
When I hear people write or talk about “extreme frugality,” I cringe for a couple of reasons. First, because we’re wealthy compared with over 99% of the world. Secondly, because you can only maintain “extreme” frugality for so long.
For example, we put up to half our income toward a financial goal for 5 years. We cooked all almost all our food at home, drove old cars, and did very little to update our home during this time. We did bare minimum shopping for clothing, and almost everything was purchased secondhand. Gifts for our children were modest and often used. The kids wore mostly hand-me-downs. Some might say we were “extremely” frugal in this time, though I never viewed it this way because we always had everything we needed, purchased what we really wanted, and maintained habits like giving, vacationing, and hosting.
Since meeting that goal and sending our first child off to school, spending has increased in comparison with the previous 5 years. We bought clothes and shoes to replace those that had worn out. We decorated our home (a little). I bought my kids clothing for the first time, since the hand-me-down chain slowed down around school age. We spent on preschool, then soccer. Quite a few items in our home had seen better days, so we replaced them.
There were “luxury” items, too. Neil got invited back to India. We went to see a professional musical. We bought our 6-year-old a birthday gift that was new rather than used for the first time–the amazing Lego Boost. Neil got me a laptop for Christmas.
I’m sure you get the picture. We limited our spending quite a bit for about five years, and then we let up because things were worn out, and we were just ready to loosen the belt a bit.
We all go through financial seasons. There is a time for saving, and a time for spending. Yes, we always need to do both. But there are seasons when one takes precedence over the other, and that’s normal.
Unfortunately, many frugality articles don’t make this seem normal, at least at a glance. When bloggers publish monthly expense reports that highlight extremely low spending, it makes it seem like they will be able to live off that amount forever. They won’t. And you won’t, either.
Maybe you’ll attend–or be in–lots of weddings or have the opportunity to travel. Maybe you or someone in your family will experience health problems. Maybe ants will eat your house. Maybe you’ll need to replace a vehicle sooner than you’d expected. Maybe you’ll need to move. Maybe you’ll have a baby. In other words, maybe life will happen and it will be expensive.
We all pass through different financial seasons in life, and a snapshot like a monthly expense report can’t convey that complexity. You may be in a different season than others, so take expense reports (or real-life spending comparisons) as information, or inspiration, but don’t take them too much to heart. You’re looking at a moment in someone else’s life, a little bit like those cheery Facebook photos that reflect only the happiest, most envy-worthy moments.
I believe in the power of frugality in making financial progress, hence our site name. But I also know that frugality has its limits, and “extreme frugality” is not only an oxymoron by the time it appears on a web page, it’s also not as sustainable as people sometimes sell it as. Live reasonably, work toward your goals, and be generous. Always keep money in perspective: “Make sure that your character is free from the love of money, being content with what you have” (Hebrews 13:5).
What financial seasons have you experienced? Was it hard to go from a saving season to a spending season?