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Rachel Cruze: 10 Things Frugal People Never Buy (And 3 She Buys Anyway)
By Nicole Symon,
2 days ago
Budgets are tight, and with inflation rates still high, people are always looking for new ways to reduce their expenses. Taking a hard look at what you buy and changing your spending habits may be the answer.
These 10 items may not be worth the cost. If you’re trying to be more frugal, consider avoiding them or buying cheaper alternatives.
Bottled Water
The global market for bottled water is worth over $300 billion. Depending on where you shop, you can spend $5 or more each time you buy a multipack of water bottles. That adds up quickly.
Bottled water is an unnecessary expense if you have access to clean tap water. Grabbing a disposable bottle as you head out the door may be more convenient, but you’re paying for that convenience. Cruze makes the point, “Why spend $5 on something you can get for free in the sink?”
Instead of continually buying bottled water, invest in one reusable water bottle. Though the upfront cost is higher, you’ll save money in the long run by cutting bottled water out of your budget.
There’s always a new smartphone or piece of technology that everyone simply “has to have.” However, you typically pay a high price for the newest releases.
Frugal people resist the urge to buy all the latest technology. Instead, they use their older tech items for as long as possible until they need to replace them.
Cruze said, “As long as it’s in working condition, keep the old laptop — it’s fine.”
Checkout Line Impulse Purchases
The display near the grocery store checkout line is designed to be enticing. Brands are trying to get you to buy items you don’t actually need at the end of your shopping trip. Frugal people don’t fall for that trap.
Even though these items are typically small and inexpensive, like gum or candy, the costs add up.
Books
The average price for an adult fiction book is around $30 for hardcovers and $20 for paperbacks. If you buy just 10 new books in a year, that adds up to hundreds of dollars.
Book lovers can still enjoy their favorites without spending as much by going to the library or getting a digital subscription like Amazon’s Kindle Unlimited. Your library also may provide access to apps such as Hoopla and Libby that enable you to enjoy a wide selection of e-books and audio books for free.
New Cars
Shiny new cars are tempting, but according to Cruze, frugal people opt for used cars or other forms of transportation to save money.
A new car will lose around 20% of its value in depreciation within the first year and continue depreciating. If you buy a $40,000 new car, that adds up to $8,000 in lost value in just a year.
Cruze arguesd, “You don’t need to buy a new car until you’re a net worth millionaire and you have the disposable income to spend on an asset that’s going down in value.”
Used cars are the more frugal, budget-friendly alternative.
Cable Television
Everyone needs some form of entertainment, and for many households in the U.S., that’s cable TV. The average monthly cost for basic cable TV and internet is around $144 per month or $1,728 per year.
As Cruze said, “If you are on a really tight budget, this is a great place to save hundreds of dollars” per month.
You could replace your cable TV subscription with one streaming service for $10 to $20 monthly and still have plenty of television shows and movies to watch.
Dry-Clean-Only Clothes
Certain fabrics like silk, cashmere and suede are too delicate to clean in your home washing machine. If you have clothes made of these fabrics, you’ll have to get them dry-cleaned every time they get dirty.
It can cost up to $50 to dry clean a suit, though smaller items like shirts are less expensive. Still, these expenses add up if you have to constantly bring clothing to the dry cleaners.
That’s why frugal people avoid buying dry-clean-only clothes. According to Cruze, buying these items will force you to waste time, money and gas on cleaning.
Brand-Name Foods
When you shop for grocery basics like cereal or dried pasta, you’ll typically see major brand names and generic brands on the shelf. Choosing generic over name-brand options can save you up to 40% on your grocery bill.
Frugal people will choose store-brand versions wherever possible to save money. As Cruze pointed out, the name-brand manufacturers may even make some of the generic products, so the quality is still high.
Pets
Pets offer companionship and love to their owners, but they don’t come cheap. Between food, medicine, accessories and other expenses, owning a pet can be very expensive. For example, on average, caring for a dog costs $4,512 per year.
Frugal people tend not to have pets due to these high costs. However, there are plenty of exceptions. Cruze noted that she knows “a lot of people that are frugal, and they still have pets because they’re part of the family.”
If you’re trying to save money and thinking about adding a pet to your family, make sure to consider the costs carefully.
Warranties
A warranty is a guarantee a manufacturer gives to repair or replace faulty products if customers have problems within a certain time after buying them. Continually paying extra for this protection on items you buy will become a significant expense.
Examples of warranties include:
Home warranties
Appliance warranties
Electronics warranties
Car warranties
Furniture and rug warranties
Cruze said, “I just save my money and then have some money saved so that if something happens, I have the cash for it.”
3 Non-Frugal Items She Buys Anyway
In her video, Cruze told viewers that she does buy some of these items that frugal people tend to avoid.
The non-frugal items that she considers worth buying for her own household include:
Bottled water for the convenience
Physical books
A few dry-clean-only clothing items
You have to examine your budget to see if there are any items you can cut out to be more frugal. If you have extra disposable income, you may buy some things that aren’t frugal because they’re worth it to you.
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