- Personal Finance
6 Ways Your Cheapness Is Costing You
Are you cheap? I mean really cheap?
I am frugal, but I am not cheap. Some people may see this as the same thing, but the main difference is value, not price. So I have had a Extreme Cheapskate marathon today and it got me thinking. Can being cheap actually cost you money in the long run? Yes. It can. So here are a few ways that being a cheapskate, can cost you money today, tomorrow and down the road.
A lot of people eat off the dollar menu at many fast food restaurants because it is cheap. I can understand it, it is hard to make a hamburger or much else for a dollar. But is it worth your dollar? Probably not. For today, it is not very filling and it will leave you hungry in an hour. Tomorrow it will add a pound to your waistline and down the road, it may affect your health. Cooking a dinner can be made for a bit more, but the quality will always be better than what you can find at a burger joint. If it is for lunch, packing your own lunch is usually cheaper, as well as healthier.
Many people do not go to the doctor because of the cost. Whether this is a few dollar co-pay or the full monte. Check-ups and the like can save you thousands of dollars by catching something in the early stages, as opposed to the end stage. This can save you dollars and years of your life. So spend a few bucks and go see your doctor once a year. It is worth it.
This one is a big one. Coupons are great, sometimes. However, when you are buying items that you will not eat, it is not. There is also the issue that most coupons, if not all, are for name brand products. For most of the world, we know that store brands are far cheaper than the name brand counterpart. So if you have a fifty cent coupon for an item that is 3.50, yet the name brand is 2.00 everyday, you still save a third of the cost by buying the store brand. There is also the cost to get the coupons, newspapers and such, which can be another couple of dollars that eats into your actual savings.
Now I am all about buying used, however appliances is something you may want to reconsider. This is simply because of the cost to run these machines is usually a lot more than the newer models. There is regulations and laws on almost everything, thus everything is made to use less electricity. By replacing just one old air conditioner, I was able to shave hundreds off of my electric bill in one summer. This more than paid the one hundred dollars I paid for the appliance. If I would have bought it off season, I probably could have saved more, however you get the point. Even though the appliance is cheap, it will cost you in the long run. It also may not work as well as the newer one will, so why set yourself up for a higher power bill.
The Cheapest Everything
This can be anything and well everything. Some people find it good to buy the cheapest of everything. This however, can cost you in the long run because you will have to replace the item quicker. Sometimes it is better to spend a bit more on an item, so it will last longer. This can be vehicles, furniture, to every day items like dish soap. If you have to use twice as much for the same clean, unless it is half the cost, you are not saving any money.
Time Sucking Savings
Okay, I don’t know what to say to those that re-use paper towels and tissues. My point is, what is your time worth? Some people will spend an hour to save a dollar. This is not cost and time effective. So stop killing yourself to save a penny because you are wasting your time which cannot be retrieved. Once it is gone, it is gone. So when you find yourself spending twenty minutes to save fifty cents, ask yourself is it worth it. Most people have a job and thus a dollar amount of their time, so do the math, crunch the numbers. Instead of wasting four hours to save ten dollars, work an extra hour and save three hours of your time.
What do you do or someone you know do, to save money?
Let me also add. When your cheapness cost someone else money, this is not good. You are making others pay for you, instead of lowering your cost naturally by using less or being inventive. It is not cool to haggle with everyone and liberate as many samples and condiments as you can carry. This is just rude.