My fellow frugalistas, our time has finally come! It may have taken a pandemic to show the world that our frugality lifestyle is the way to go! But here it is. The consensus is in: frugality reigns divine. It has now been proven to be an acceptable, permanent, smart, social lifestyle. Can you imagine a society that is living within its means?
Can you imagine a world where everyone has a savings account to at least cover themselves for three months? A world where DIY is king? Car repairs, home repairs, self hair cuts, bread baking, learning to cook for oneself and the family, stockpiling, veggie and fruit gardening, sewing machines and bicycles rule the days? No expensive vacations. No cruises or frivolous trips to DisneyLand. Can you imagine a world where RVing is the mode of vacays?
Can you imagine a world where people have learned to live on less, live in smaller houses and still retain their happiness? Their social mode is the appreciation of all things natural the state and Federal parks have to offer (most times for free) all around America? They appreciate nature, the great outdoors, a natural walk, a festive hike, a free concert, and the plethora of opportunities awaiting them at their local library? Can you imagine any of that? Well, I hope you can because this mode of frugal living is reigning supreme right now in the middle of this pandemic.
David Rosenberg, candid influential economist, calls it the ‘Homebody Economy‘. Life has seriously changed for all of us. Based on Rosenberg’s experience, most vaccines weren’t ready for mass injection sometimes for up to four years. The pandemic has brought about a fundamental shift in our economy. Until there is a Covid-19 vaccine, the frugal lifestyle should be made permanent. Future investing will focus and concentrate on anything and everything connected to home-style living and technology.
Despite the prior three years of a raving economy, many people were caught off guard without any savings when the pandemic hit. Waiting on long food lines while idling in their debt-laden SUVs wasn’t envisioned on their time line horizon. Now? People are forgoing many luxury items, getting down to basics and are saving their money instead. Saving rates are up 33%! Forty million people have lost their jobs and there’s a very good chance ten million of these people will never find work as they had before, again. No one is going out to eat anymore. People have learned to cook and bake for themselves and their families. People are buying bread machines and brewing their own coffee. And they like it! No one is hoping on a plane to travel the world or take a vacation. RVing has finally come in to be a respected vacation mode. Bicycles have out sold cars for the first time ever!
To hear Part Two of David Rosenberg’s interview on Wealth Track, I’ve posted it down below. I’ve also posted Part One but I think listening to the second part first is more appropriate in finally understanding what we all have been going through. Rosenberg focuses on finding a solution and navigating a new lifestyle course. He praises the accomplishments and satisfaction a frugal lifestyle can bring to any of us. He offers sound advice on future investment strategies. Businesses, as we knew them, are going to change.
Let’s hope we all make frugal living a permanent choice as we go forward into this brave new world. Who would have thought being a homebody would rule the world?
Ciphers From Cindi 
We will be cruising again. We will be traveling again. We will be going out to eat again. And I believe so will a lot of other people. I have enjoyed baking bread again and brewing my own coffee, but I have not forgotten the incredible enjoyment I receive when traveling.
I doubt I will ever RV. It’s just not for me.
So, I guess we won’t be adhering to David Rosenberg’s prediction. Life will open up again. It’s just going to take time.
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It all depends on the vaccine. Wall Street is expecting the vaccine before Labor Day. Ain’t gonna happen. It may take years. Remember there is no vaccine for AIDS/HIV. But just a simple thing of abstinence or condoms solved the problem. No so with Coronavirus. The longer we wait for a vaccine, the less people will pay for meals out, cruises, travel. Even now, based on restaurant margins, they can’t make it at 50% or 25% which is what the government is allowing. You can’t eat outside forever. Eventually many restaurants, theaters, travel agents, concerts will shut down and go out of business. Ditto for retail. Our economy is based on 70% of people shopping. During the pandemic, no one is shopping. I know we’re not. I’ve learned to cut my own hair. I’m not going back to a salon. I’m not flying to Florida or anywhere else. We’re socking money away in droves. Ditto for stockpiling food and supplies.
Yes, life will open up again but its all dependent on that vaccine. If it takes years, we need to hunker down. If they discover one soon, things will open up BUT I don’t think the economy will ever be the same. I think people finally learned their lesson this time. 50% of people today did not have any savings to get them through this calamity. Waiting on long food lines may have finally made a difference in people’s priorities.
BTW, all cruise lines are in storage at a loss of $650million dollars per day. How long do you think they can survive?
https://www.cruiseindustrynews.com/cruise-news/22841-how-much-money-the-major-cruise-companies-are-burning-through.html
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We have a Disney cruise planned for May 2021. And, yes, I know all about the cruising industry’s financial woes. But we have already seen 2.2M cases. What could happen is that we end up getting the herd immunity. I believe there will be a treatment for it soon, while we wait for a vaccine that would change the seriousness of the virus. We could all go down that fearful mode that the world is ending (i.e. restaurants, etc.) but my positivity isn’t allowing my mind to go there. We are a country that has gone through worse and have come out ahead (for the most part). I’ll ruminate there for a while, enjoy my husband working from home, and take 2020 off from restaurants, travel and shopping. But I refuse to think I’ll never be able to do those things again.
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Sharon, of course you will be cruising again. The river cruises are still operating. You may, and I mean ‘may’ have a longer wait for a come back. That’s all. Since Nick and I have lived frugally for like forever, we have no interest in the economy. The downturn hasn’t affected us at all. We’re just living now as we have before. Only wearing masks now, using hand sanitizer and washing like crazy!!!
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Sharon, I too think positively, we will get back to traveling more and eating out again. Never took a cruise. And I am surprise you are planning one after your blog post a while ago, that you were done before the pandemic. All of the restaurants are not giving up on pickup, just a new form of takeout and most also do deliveries. If there are fewer tables They will not need same personnel. So they will be making a greater profit.
Yes, People are still spending just on different consumer goods. Homebody stuff like your kiddie pool, garden supplies, outdoor furniture and movies projectors, sports items and crafts to entertain their kids, LEGOS, swing sets, more casual clothes and pajama pants, stock piling more items. I am sure there will be a surge for those outside heaters come fall.
So if you were saving $1 and you increased by 33% you put away $1.33.?? If you are working from home now and not paying commuter cost have you really increase your savings even as much as what you save by not commuting. Or is this truly long term savings? Or Just money for delayed consumer spending and travel. With tax penalties liftEd on retirement accounts withdrawals, I wonder how many are taping those now to put in emergency accounts? So this Would also Increase the savings rate.
Personally I don’t think the people who didn’t have $400 saved will change their savings pattern because most of them have huge amount of either credit card debt, student loans, high mortgage or rent payments and do not have that much flexibility in their budget. They also had no schooling in financial education. IMHO Lara
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With Nick no longer working, our expenses have gone down considerably. We’re going down to one car, cut our cable/satellite, clothing, gas needs…….lots of things. As long as we stay down at this new low, I’ve been able to save quite a bit of money. Now, with hubby collecting, most of that goes into savings. We don’t need it for the day to day. I’m actually replenishing what we have taken out over the years. We also need to save for a newer car. Despite trading in two vehicles, they will be a balance due and we do not want to borrow any more money. It’s all good. Couldn’t ask for anything more. Frugality is working out for us.
I too believe many businesses are going to close BUT many more will come to life as their replacements. People have different needs and goals now. That’s why I think the S&P500 is going to soar. One day. LOL!
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Cindi, I think Nick’s work options drying up had a profound downturn impact-having to take his Social Security. So right now, it’s up your guaranteed monthly income. This has allowed more opportunity to save or you could have gone the other way and started spending more.
I know I have been impacted, too. I have always lived below my means and so it’s just my lifestyle I chose from lessons learned from my Mom and Dad.
Frugality to me is not eliminating all the pleasures or hobbies I enjoy but a way of Managing having my cake and eating it to. Selective consumerism. Prioritizing spending for what I deem is important. Designing a joyful life of balance while getting discounts and accumulating rewards. If I didn’t take pleasure in gardening, I wouldn’t have a garden. If I lost the joy in Painting or genealogy I would stop, Lara
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HI Lara. I just addressed this in my previous comment back to you. Our expenses have gone down a lot. I cut out a lot of things. Combined with hubby no longer working and now collecting SS, I’ve been able to bank a lot of money into savings. We’re very comfortable at our new current, lower spending level. The only thing that increased was groceries and that’s because I’m stockpiling AND also when the pandemic first hit, we had to spend a lot of money to get what we needed. A LOT!!! But it’s getting better. I think. We went to Aldi’s last week and too many shelves were bare for my security. I went to the gourmet local farmers food store….they had what I needed, at triple the price. UGH!
Here’s a funny story: Nick and I went out for lunch at our fave diner once restrictions were loosened. I order my old familiar meal……it was horrible! I think we have gotten so used to our own home cooking, we can’t eat restaurant foods anymore. We also ordered take out from our fave Chinese restaurant, we ordered our usual (chicken chow meian, spare ribs, won ton soup). This meal used to cost us less than $25. The new bill, for the same exact foods came to $40 this time!!!! NO MORE!!! We’re done! Staying home and cooking ourselves.
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WOW! That’s quite an increase on Chinese food. Did the diner prices go up too? I remember you loved their $9.99 3 course meals and dessert.
So have the prices gone up a lot at the Gourmet local farm market? I have spent $330 total including Instacart fees and tips since March 5 th and will do a food delivery June 29th For July. Haven’t been in a store since March 5th. Get a pick up lunch and dinner ( large portions get two meals for all) from our favorite restaurants that they place in my trunk at my son’s in R.I. weekly to give us both a break from cooking. The one owner always thanks us profusely for continuing our patronage. None of them have increased their prices.
A RI local farm does glass bottles milk delivery plus a list of other items and they provide a metal container just like in 1950-1960’s ! They also get a weekly delivery of organic meats, artisan baked goods, local catch fish and scallops, organic vegetables from a Co-op of five local retailers who use to be at the East Providence Farmers Market. The orders have to be at least $65 dollars.
I took my utilities off of budget and charge them now on my 2.65% rewards card. Spending less on gas with the prices under $2 a gallon.
I wanted to get a pair of black capris but they were out of my size. Bought a pair of sale priced $29 daisy patterned rain boots and applied my Amazon Prime rewards from Christmas and Birthday purchases and paid $3.67 plus free shipping. I love them . My expenses have come down too. Haven’t gotten my new property assessment yet for my property taxes, but our mill rate is staying the same because Governor Lamont canceled opening voting polls. Lots of protest of Taxation without consent. Lara
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The biggest increase on the Chinese food was my order of spare ribs. It used to be around $9 to $10. This time it was $17!!! I ordered over the phone and not with a menu. I just ordered our regular stuff. Never again. The food at the diner was just awful. I suppose because they don’t have a good turn around any more. So, the stuff was almost stale. Not good. Never again.
We’ve been doing two shopping trips per month at Aldi and one online shopping from WalMart per month ($35 minimum for free shipping) for all the things Aldi doesn’t sell (like decaf tea bags etc) It’s been coming to $700 a month but so far, this month it will be in the high $500s. So much better than the previous three months.
I did buy a new freezer this week, which I am going to write a post on. Are you aware that you can not buy a freezer right now? Some are on backorder till late September. I have been trying for days at Lowes. Home Depot, Wal Mart, Amazon…..Ugh, ugh and ugh. Don’t ask me how but I was able to buy the freezer of my dreams from the Depot for only $359 for a Frigidaire stand upright freezer. Since it’s only hubby and I, it’s only 6 cu ft. Perfect for us. I can’t wait. I have been passing up on so many great sales. There just is no more room in my regular fridge/freezer. It’s so stocked, when I open the door, everything comes falling out.
No more. I get my new freezer in July.
I’ll take it!
Can’t wait.
So lucky!
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I had a 10 ft cubic chest freezer when I was in NJ farm country 1978- 1985 and froze a lot of fruits and vegetables from their Monday 50% off peck and basket sales . I learned from my Mom to use your pie plate and fill it with the pie filling mixing the spices, sugar And flour freeze covered then pop them out and slip into gallon ziploc bags. I also used the old huge round Tupperware to store 3 fillings with double layer wax paper In between filling. I froze peach and apple fillings. When we moved it was so much more expensive to purchase fruits in vegetables.? Do you have available locally strawberries, Peaches, or blueberries? Ever make freezer jams? I use to freeze a ton of purée zucchini for Muffins and bread in the freezer. Green beans from our own garden. Peanut Butter cookies made with oatmeal flour are amazing out of the freezer. They were my chill pack for the kids lunches. Start saving those plastic containers! Electricity cost was $5 monthly to run it. I finally stop using it when My DH passed. I have a 9 cubic freezer in my small refrigerator and I do miss it during the holidays. Good luck with it. Mine was still operating after 25 years. Lara
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Great ideas. Can’t wait.
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This may surprise you a little but after I build up the 100 meals to get through the flu season since 2006, I then run it down. Even with the pandemic! I didn’t change this. I shop my freezer and pantry each week and buy only needed items to make meals from the ingredients on hand. This month that was two pounds carrots, dozen eggs, five pound flour, a pound of Vermont organic ground beef from my son to make taco salads like he made. The only exception was to buy anything else before pandemic -if it was at super low prices 50% off to free from it’s regular prices. Right now My freezer is three quarters empty and so is my refrigerator. I know I can stretch what I do have on hand for at least 30 days. (Frugal techniques learned over my lifetime) With your refrigerator overflowing and the massive pantry photos do you know how many days you already have more then enough Food? I found when I had so much food I stress eat nonstop and gain weight. The food spoils because air doesn’t circulate properly in the refrigerator to keep everything cold enough and the top shelf stuff freezes. IMHO, It seems – You may be operating too strongly in panic or fear mode and perhaps Could even skip going to the store. I have found doing this, I can stick to healthier eating and smaller portions and the benefit is I have lost 16 pounds with more energy. If it’s not in the house, it can’t add to my hips. Sincerely, Lara
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That’s great you lost 16 pounds! Wow! Congrats.
I have a smallish refridge in my kitchen. Only 18 cu ft. When I bought all new appliances a few years back, I bought white and I bought smaller to save money and on electricity. It was fine all along until the pandemic. My freezer is just way too small. The fridge part, however, is just about right.
I think I’m all done with stockpiling. I would estimate I have between 6 months to a year on some goods (like rice and dry beans). I bought freeze dried eggs and milk which are good for 25 years.
I think I got it down to a good balance. The new freezer, again is smallish BUT is perfect for just the two of us.
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Mine is an 18 cubic ft white Frigidaire, too and it looks like we have similar stoves. Does yours have a convex option ? We went down from 22. Cu ft fridge. It’s amazing when you have to give up on dairy and juices how much space is unfilled in a refrigerator. I miss lasagne! After I got over coronavirus I couldn’t get enough toasted cheese Sandwiches and lasagna . I got a mild rosacea red face! And had to go back on the medication to clear it up. Are you enjoying this heat wave?Did you get the pool up yet so you can have a dip? Lara
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Hi Lara. Just spoke to the guy. He’ll be here over the July 4th weekend to put i the pool. Till then, we stay in the air conditioning. UGH.
I love my fridge. It’s perfect for us. And I love Frigidaire. ALL my appliances are Frigidaire. They’re priced right, work great and last a long time. I’m counting the days till my freezer is delivered. Yay!
PS: I make a mean lasagna. Make my last one over a month ago (spinach lasagna!)
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I’ve seen your photos of your lasagne and my mouth waters. FYI:, ShopRite has Galbani mozzarella log On sale for$2.99 lb. . This week. Check out their website for other ingredients.,
OurNights are in the 60’s, lots of shade trees, So I open my windows at Nine PM and so I still haven’t put my air conditioners in the windows. 😊
My lower floor At 7am was 65 and it’s now 70. Very comfortable. I woke this morning at five and had all my outside jobs and vacuuming Done by eight in the coolness. Just took a siesta . Retirement life is sweet. One of my 70 year old neighbors told me she also got coronavirus too. And got over it.
So I guess the pool won’t be incentive for your daughters to come on the fourth. Are you getting it filled by a water company? Or planning on using your well? Sincerely, Lara
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Water company! No well. We’re in a drought and water usage is limited. No baths. Only navy showers. Full laundry and dishwashing only every other day.
I can’t take the humidity. Temps in the 90s. AC has been on for days. But very light.
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Sorry to hear your area is in a drought we are having our first 10 days of no rain. I hate humidity too. I like summer best when it’s high is 80 breezy and with coolEr nights . 🍀 Lara
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