The often ignored economic philosophy of life of the frugalists

Compared to the often high income that some people achieve, frugalists only spend a relatively small part of the money. This way of life is characterized by the fact that frugalists are satisfied with what they possess and not seek excessive consumption. In principle, every consumer has the option of purchasing used items thatoften represent a meaningful and sustainable alternative to newly purchased products. Expensive fashion accessories, branded clothing or high-priced products from well-known manufacturers are considered superfluous, because the fashion and consumer world is characterized by rapid changes, and new trends prevail after a short time anyway. As a result, these purchases quickly lose their value and importance,so that their acquisition is often not sustainable.

Debt avoidance and conscious handling of money

For frugalists, it is a central principle to avoid debt in principle in order to become financially independent. If debts arise, for example due to unforeseen expenses or other circumstances, it is important to repay them as soon as possible. A quick repayment is necessary so that the goal of financial freedom is not unnecessarily prolonged.Spontaneous purchases, supposed bargains or impulse purchases are not of interest to these people, as they are always associated with expenses that slow the path to independence. People who are constantly keen to buy the best, most up-to-date and expensive products often find this reserved way of life strange or incomprehensible. You can hardunderstand that this attitude can lead to a higher quality of life, although at first glance it has a limiting effect.

Different life goals and consumption patterns

Buyers of high-priced items are often in a vicious circle of consumer society. They try to compensate for inner dissatisfaction or emptiness by acquiring new things. They often buy short-term moments of happiness, but they are rarely of long-lasting. In contrast, Frugalists strive to live a fulfilled and self-determined life through financialto create freedom. By consciously withholding when you consume it, you have significantly more left over your money, which you can use for more important areas of life. The value you put on your free time is particularly great – time for yourself, your family and personal hobbies. In this way you can fully live out your interests, are more balanced overall and feel more satisfied withyourself and your life. While many people rush through everyday life and hardly find any air to think, the way the frugalists live allows them to concentrate on the essentials and thus experience sustainable moments of happiness.

Realistic perspectives on retirement and financial planning

People with an above-average income have the opportunity to save so much money that they no longer have to work after just a few years. For many people in the broad middle of society, retirement from the age of sixty is a realistic goal. Nevertheless, there are also numerous people who dream of at least a decade earlier in theRetirement and find the way the frugalists live as ideal. During the retirement phase, these people continue to show modesty and forego excessive consumption. The principle of getting by with little money runs through your entire life as a guiding principle and shapes your thoughts and actions in a sustainable manner.

Financial independence instead of retirement

The term “retirement” is usually used by frugalists reluctantly. They prefer the term “financial independence” because this term is more realistic and active. For them, financial independence does not simply mean passive life without work, but the freedom to be able to dispose of time and money in a self-determined manner. You invest your money independently anddeliberately forgo expensive advice or services in the area of portfolio management. You do these transactions yourself to save costs and keep control of your finances. Minimalists follow a similar lifestyle by living sparingly and not buying unnecessary items that are hardly needed after a short time. They don’t show anyInterest in trend products, as they neither meet your needs nor offer long-term value.

satisfaction with the essential

Both frugalists and minimalists are satisfied with what they possess and what is necessary for a good and fulfilling life. If it is not possible for a frugalist to achieve the desired high savings share of his income, he will still cover as much money as his current life situation allows. At the same time, he is constantly working on his incometo increase the goal of financial freedom as quickly as possible. Minimalists, on the other hand, usually do not pursue any goals with regard to increasing income as long as their current income is sufficient to earn a modest living. You value the quality of your lifestyle more than the level of your income and find satisfaction ina simple, consciously lived life without excessive material possession.