If you’re reading this, you’re probably where we are: tired of financial stress, ready to take control of spending, and looking for practical ways to live well on less without feeling deprived.
We’re not frugal living experts. We’re beginners on this journey ourselves, learning as we go. Our team started this site to document what we discover, share what works (and what doesn’t), and build a community of people figuring this out together.
This guide compiles everything we’re learning about starting a frugal lifestyle — the mindset shifts, practical strategies, common mistakes, and first steps that actually make a difference. Think of this as beginners helping beginners, with research and early experience to back it up.
Let’s figure this out together.
What Frugal Living Actually Means (And What It Doesn’t)
Before diving into strategies, we need to get clear on what we’re actually trying to do here.
Frugal living is NOT:
- Being cheap or miserly
- Never enjoying anything
- Judging how others spend money
- Depriving yourself constantly
- Making life miserable to save pennies
Frugal living IS:
- Being intentional about spending
- Prioritizing what matters to you
- Cutting ruthlessly on what doesn’t
- Getting good value for your money
- Living well on less through smart choices
The goal isn’t to spend as little as possible. The goal is to spend consciously on things that genuinely improve your life and eliminate waste on things that don’t.
This distinction matters. We’re not trying to win a contest for who can spend the least. We’re trying to align our spending with our values and goals.
The Mindset Shift That Changes Everything
In our research and early experience, we’ve learned that frugal living starts in your head, not your wallet.
From Scarcity to Abundance
Old mindset: “I can’t afford anything. I have to say no to everything.”
New mindset: “I choose where my money goes. I’m saying yes to my priorities by saying no to waste.”
This shift is subtle but powerful. You’re not a victim of circumstances. You’re making active choices about what matters.
From Deprivation to Intention
Old mindset: “Frugal living means I can’t have nice things.”
New mindset: “Frugal living means I have nice things that I truly value, not clutter I bought impulsively.”
We’re learning that having fewer, better things we actually use beats having lots of mediocre things we don’t.
From Comparison to Personal Goals
Old mindset: “I need to keep up with friends/neighbors/coworkers.”
New mindset: “Their priorities aren’t my priorities. I’m building the life I actually want.”
This might be the hardest shift of all. Social pressure to spend is real. Learning to say “that’s not in my budget right now” without shame or explanation is a skill we’re actively developing.
Getting Started: Your First Week
When we started this journey, we were overwhelmed by all the advice out there. Here’s what we wish we’d known: start small and build gradually.
Day 1-2: Track Your Spending
Before you can change your spending, you need to know where your money actually goes.
What we’re doing:
- Keeping every receipt for two weeks
- Writing down every purchase (yes, even coffee)
- Using a simple notes app or spreadsheet
- Not judging ourselves — just observing
What we’re learning: Most of us significantly underestimate how much we spend on certain categories. Awareness is uncomfortable but necessary.
Day 3-4: Identify Your “Money Leaks”
After a few days of tracking, patterns emerge. We’re each discovering our personal “money leaks” — categories where money disappears without bringing much value.
Common money leaks we’re finding:
- Convenience food and takeout
- Subscription services we forgot about
- Impulse purchases at checkout
- Shopping when bored or stressed
- Buying duplicates of things we already own
The key question we’re asking: “Does this spending align with what I say I value?”
Day 5-7: Pick ONE Thing to Change
We’re not trying to overhaul our entire lives in week one. We’re each choosing one specific money leak to address.
Examples from our team:
- “I’m meal planning Sundays to reduce weeknight takeout”
- “I’m unsubscribing from retail emails that trigger impulse buying”
- “I’m implementing a 24-hour rule before any non-essential purchase”
- “I’m making coffee at home instead of daily café stops”
Why this works: One change is sustainable. Ten changes simultaneously is overwhelming and leads to giving up.
The Core Strategies We’re Learning
As beginners, we’re discovering these strategies appear repeatedly in every frugal living resource. They work because they address the biggest spending categories for most people.
1. Master Grocery Shopping
Food is typically the second-largest expense after housing, and it’s one of the most controllable.
What we’re implementing:
- Meal planning before shopping (prevents impulse buys and waste)
- Making detailed shopping lists (and sticking to them)
- Shopping sales and using store loyalty programs
- Buying generic/store brands for staples
- Cooking at home more often
Early results: Team members report cutting grocery spending by 20-30% in the first month just by planning and reducing food waste.
Reality check: This requires time investment upfront. Meal planning takes 15-30 minutes weekly. But it saves hours of decision fatigue and money during the week.
2. Reduce Fixed Expenses
Unlike variable spending, fixed expenses happen automatically every month. Reducing them creates permanent savings.
What we’re tackling:
- Calling service providers to negotiate lower rates (internet, phone, insurance)
- Reviewing and canceling unused subscriptions
- Considering downsizing housing or getting a roommate (if feasible)
- Refinancing debt to lower interest rates
- Shopping around for insurance annually
What we’re learning: Many companies offer “retention rates” if you call and ask. The worst they can say is no. A 10-minute phone call can save $20-50 monthly.
Mental barrier we’re overcoming: It feels uncomfortable to negotiate or cancel services. But companies expect it. This is business, not personal.
3. Implement the 30-Day Rule
We’ve written extensively about this because it’s proving to be one of the most powerful tools we’ve adopted.
The rule: For any non-essential purchase over a certain threshold (we’re using $50), wait 30 days. If you still want it after 30 days, buy it guilt-free.
What’s happening: Most items we put on our 30-day lists lose their appeal within a week or two. The urgency was manufactured by marketing or emotional triggers, not genuine need.
The freedom: We’re learning we can want something, acknowledge that want, and still choose not to buy it. That’s empowering.
4. Embrace DIY (Selectively)
“Do it yourself” saves money, but not everything is worth DIYing.
What we’re trying:
- Basic home repairs (unclogging drains, changing air filters)
- Cooking from scratch more often
- Making our own cleaning products (surprisingly easy and cheap)
- Basic car maintenance (oil changes, tire rotation)
- Mending clothes instead of immediately replacing
What we’re learning: Some DIY saves significant money with minimal effort. Other DIY takes so much time it’s not worth it. We’re figuring out which is which through trial and error.
The calculation: If something takes 3 hours to DIY and saves $20, that’s $6.67/hour. Is that worth your time? Sometimes yes, sometimes no. It depends on your situation.
5. Use What You Have
Before buying something new, we’re asking: “Do I already own something that could serve this purpose?”
Examples:
- Using coffee cans for storage instead of buying containers
- Repurposing old t-shirts as cleaning rags
- Using the library instead of buying books
- Borrowing tools from neighbors for one-time projects
- Shopping our own closets before buying new clothes
The revelation: Most of us already own enough stuff to meet our needs. We just forgot what we have or didn’t think creatively about using it.
6. Find Free or Low-Cost Entertainment
Entertainment and leisure spending can quietly drain budgets if we default to expensive options.
What we’re discovering:
- Library offerings (books, movies, digital resources, free programs)
- Free community events and festivals
- Hiking, parks, and nature activities
- Hosting potluck dinners instead of going to restaurants
- Game nights, book clubs, crafts using supplies we already have
The surprise: Many of these free activities are more enjoyable than expensive alternatives. They often involve more social connection and less passive consumption.
Common Beginner Mistakes (We’re Making Them Too)
Mistake #1: Trying to Change Everything at Once
Several of us started by attempting to overhaul every aspect of spending simultaneously. We lasted about a week before burning out.
Better approach: Change one thing at a time. Master it. Then add another change. Slow progress is sustainable progress.
Mistake #2: Being Too Restrictive
We’re learning that if we set budgets that feel like punishment, we rebel. Then we overspend, feel guilty, and give up.
Better approach: Build in small allowances for treats and spontaneity. Frugal living should be sustainable, not a temporary diet you’re waiting to quit.
Mistake #3: Comparing Our Journey to Others
Some people on frugal living forums live on incredibly small amounts. That’s impressive, but it’s not our goal and doesn’t need to be.
Better approach: Compare our current spending to our own goals, not to someone else’s situation. Progress is personal.
Mistake #4: Focusing Only on Small Savings
We’ve wasted time optimizing pennies while ignoring dollars. Making our own laundry detergent saves $20 yearly. Negotiating rent or finding a better insurance rate saves hundreds or thousands.
Better approach: Tackle big expenses first. Then optimize small ones if you enjoy it. Not the reverse.
Mistake #5: Forgetting to Enjoy Life Now
We’re here because we want financial security, but not at the expense of never enjoying the present.
Better approach: Budget for joy. Include money for things that genuinely matter to you. Frugal living isn’t about waiting until “someday” to live. It’s about living well now, just more intentionally.
Building Your Frugal Living Plan
Everyone’s situation is different. Here’s how we’re each creating personalized plans:
Step 1: Define Your “Why”
Why are you pursuing frugal living?
- Pay off debt?
- Build emergency fund?
- Save for a specific goal?
- Reduce financial stress?
- Retire earlier?
- Work less?
Your “why” determines your strategy and keeps you motivated when it’s hard.
Step 2: Audit Current Spending
Track spending for at least two weeks (ideally a month). Categorize everything. Identify:
- Fixed expenses (rent, utilities, insurance, etc.)
- Variable but necessary expenses (groceries, gas, etc.)
- Discretionary expenses (entertainment, eating out, shopping, etc.)
Be honest. No judgment. Just data.
Step 3: Identify Quick Wins
Look for money leaks you can plug immediately with minimal effort:
- Cancel unused subscriptions
- Switch to cheaper phone plan
- Start meal planning
- Implement 24-hour rule for impulse purchases
These create immediate savings and motivation to continue.
Step 4: Tackle Big Expenses
Look at your top 3-5 expense categories. Even small percentage reductions in large categories create significant savings:
- Can you reduce housing costs?
- Can you lower transportation costs?
- Can you cut grocery spending?
Step 5: Create a Simple Budget
We’re learning to keep budgets simple. Complicated systems don’t last.
Basic approach:
- Fixed expenses (list everything)
- Savings/debt goals (pay yourself first)
- Remainder = spending money for variable categories
Some of us use apps. Others use spreadsheets. One team member uses cash envelopes. Find what works for you.
Step 6: Review and Adjust Monthly
We’re committing to monthly check-ins. What worked? What didn’t? What needs adjustment?
Frugal living is iterative. We’re constantly learning and refining.
Resources We’re Finding Helpful
Books we’re reading:
- “Your Money or Your Life” by Vicki Robin
- “The Simple Dollar” by Trent Hamm
- “The Complete Tightwad Gazette” by Amy Dacyczyn
Websites and communities:
- Reddit’s r/Frugal and r/PersonalFinanceCanada
- RedFlagDeals (Canadian deals and strategies)
- Local library resources
Tools we’re using:
- Budgeting apps (Mint, YNAB, or simple spreadsheets)
- Meal planning apps
- Browser extensions for price tracking
What We’re Learning About Ourselves
A few weeks into this journey, we’re discovering frugal living is teaching us things beyond just saving money.
We’re learning:
- What we truly value vs. what advertising tells us to value
- How much of our spending was mindless vs. intentional
- That we don’t need as much as we thought we did
- That experiences matter more than possessions
- That financial control reduces stress significantly
- That we’re more resourceful than we gave ourselves credit for
The unexpected benefit: This isn’t just about money. It’s about being more intentional in all areas of life.
The Honest Reality
Let’s be real: frugal living isn’t always easy or fun.
The challenges:
- It takes effort and planning
- It requires saying no to things others say yes to
- Social situations can be awkward
- Some weeks we fail and overspend
- Progress feels slow sometimes
- We occasionally resent the constraints
But also:
- The financial stress is decreasing
- We’re sleeping better knowing we have savings building
- We feel more in control of our lives
- We’re proud of our progress
- Small wins feel genuinely satisfying
- We’re building skills that will serve us forever
Your First Steps
If you’re starting today, here’s what we recommend based on what we’re learning:
This week:
- Track every dollar you spend for seven days
- Identify your biggest money leak
- Choose ONE thing to change
- Tell someone about your goal (accountability helps)
This month:
- Continue tracking spending
- Implement one new frugal strategy weekly
- Celebrate small wins
- Don’t beat yourself up over slip-ups
This year:
- Build the habits that make frugal living automatic
- Review and adjust regularly
- Share what you’re learning (it reinforces your own commitment)
- Watch your savings grow
Join Us
We’re figuring this out as we go. We’re making mistakes, learning from them, and sharing everything here on Wise Penny Living.
If you’re starting your frugal journey too, you’re in the right place. We’re learning together, supporting each other, and building the financial lives we want.
It won’t always be easy. But it will be worth it.
Here’s to living well on less — not through deprivation, but through intention.
What’s the first change you’ll make this week?