Can one get rich by being frugal? That is one possibility. Having peace of mind is another. What exactly does the word frugality mean?
Interestingly, the freedictionary.com website defines the word frugality, not in terms of miserliness, but rather in terms of the economy, suggesting frugality is “practicing or marked by economy, as in the expenditure of money or the use of material resources or costing little; inexpensive”.
How does frugality pay? What are the benefits and implications of living a frugal lifestyle?
“Frugal living does not imply additional thriftiness, rather it implies better money management and to live smartly.”
In terms of dollars and cents, frugality means learning how to manage one’s money in a better, smarter way.
Not everyone learns how to manage money smartly or properly as children, teenagers or even as adults. In fact, for many people, these kinds of lessons are not the kind that are learned until they are confronted with hardship, job loss, unemployment or a lifestyle in a negative, economic situation of some kind. Most people look at money as something that they have simply to spend and enjoy. Perhaps some save for a rainy day but not as a rule of thumb. Most people overspend or wind up in debt.
Perhaps one of the basic rules of frugality is learning how to distinguish one’s needs from one’s wants. Being frugal, one learns that basic needs must be or become a priority.
Perhaps one of the largest problems related to the need for frugality in our era has to do with the rapidly declining, global economy. There are many seniors and a large number of baby boomers about to enter into retirement. Many people who are now elderly seniors, were forced to learn frugality and practice it prior to, during and post World War ll. Many of the older baby boomers grew up in homes where frugality was an accepted and appropriate life style for every community particularly in conjunction with large families, which were the accepted norm of that day.
Addressing frugality in this era, the basics of frugality are still the same, namely that of good economic money management and learning how to live smarter. Living better does not necessarily mean spending more money. In fact, with good money management practices, it can mean spending less money and saving more money. Frugality pays, as one sees his or her basic needs being satisfied. After one becomes financially secure is the time to fulfill the personal desires one harbors. Even then, frugality is still a good practice. Financial independence is one of the primary benefits of frugality. It often involves a strong work ethic which many seniors and baby boomers have learned while the younger generation still may not understand its merit. Teenagers and young adults can learn to break free of dependency upon their parents and grandparents by learning how to manage their money better, also learning how to live smarter financially. Freedom from debt and ongoing or recurrent monetary crises is another advantage of frugality.
In closing, one must address rising global, humanitarian needs and suggest that those who are accustomed to frugality are in a position to assist others in some way while those who are not may need assistance from them.
Will one get rich being frugal? Some do, but getting rich may no longer be their primary goal as values change over the years. What originally seemed so important in terms of the accumulation of wealth may no longer matter, in the light of the love of one another.