Frugal living habits are the secret sauce behind a budget that actually works. But here’s the thing—not all habits are created equal. Some take up your time and energy without delivering much return.
We like to focus on what we call our “20% habits”—the simple, consistent actions that give us the biggest payoff. These are the ones we return to week after week, because they actually move the needle on our savings.
Here are the 7 frugal living habits we practice every week to save money, stay organized, and avoid budget stress.
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1. Start with a Weekly Kitchen Check
This single habit helped us cut our grocery bill by 20%.
Start with a pantry and freezer inventory—but the game-changer? A perishable food check once a week. Ours is on Thursdays. We pull everything out of the fridge, set it on the counter, and make a “use this first” list based on what’s about to expire.
“I see you, lonely zucchini sitting at the back of the bottom shelf! You are now my priority. You will be supper tonight.“
From there, we plan a simple 3-day menu using what we already have.
It delays that inevitable grocery trip by 3–5 days and saves money like crazy. This one habit alone makes a huge difference—and it’s why it’s first on our list of top frugal living habits.
2. Automate Your Savings
One of the most powerful frugal living habits is also one of the easiest: set up automatic transfers to savings.
When money moves to savings without you thinking about it, you’re more likely to stick with it. No second-guessing. No end-of-the-month scramble. It’s just… handled.
Your savings account will grow without you ever needing to touch it – no willpower required. Because let’s be real: if you wait to save whatever’s left at the end of the month… there’s generally not much left.
We used to think “pay yourself first” was a cliché. Now, it’s a rule we live by.
3. Use Sinking Funds Like a Pro
Sinking funds are such a glorious idea – and you probably should be using them more than you are. Sinking funds are your budget’s secret weapon. Instead of getting slammed by big bills, you break them into bite-sized monthly pieces.
Got a $2,400 car insurance bill due annually? Save $200 a month. Christmas, clothes, car repairs—we’ve got a sinking fund for all of them. We even have one labeled “fun money” because yes, frugality can be fun.
If costs go up? Adjust the amount next year and keep rolling.
We use 13–14 sinking funds at any given time—for gifts, clothing, car tags, medical, and more. These kinds of proactive habits are essential to frugal living because they prevent last-minute expenses from wrecking your budget.
4. Slash Recurring Bills Strategically
Some bills are negotiable. Others, not so much. But even the non-negotiables leave room for saving.
Here’s how we approach it:
- Shop around for a cheaper cell phone provider (We use Mint Mobile)
- Ask for loyalty discounts from current service providers
- Use less water and electricity. (Yes, this will lower your bill!)
- Cancel any subscriptions you’re not actually using
One of our best frugal living habits is paying certain bills annually instead of monthly. Some companies offer 8–10% discounts just for changing your payment plan. Your sinking fund can help make that switch painless.
Can’t negotiate utilities? You can still reduce usage. We dropped our water bill by 100 gallons in one month just by being more mindful. Also, pro move: pay bills annually instead of monthly. This can reduce your overall rate by up to 20%. As soon as you get the new quote, use—you guessed it—sinking funds to save up for the bill.
5. Avoid the “Treat Yourself” Trap
Little rewards add up big. That $5 daily coffee? Over $700 a year. Breakfast out? $1,500. Lunch? $2,300.
You feel like you’ve earned a little reward (and maybe you have!)… but suddenly you’re grabbing takeout three times a week, hitting the drive-thru for breakfast, or swinging by the coffee shop “just this once.”
Those little treats can quietly add up to over $4,500 a year.
One of the smartest frugal living habits is learning to celebrate with intention—not impulse. That means enjoying treats on purpose, not as an automatic reflex.
6. Do a Weekly Budget Check
Every Sunday (or whatever day works best for you), sit down and check in with your money.
Here’s our system:
- Set 3 mini financial goals for the week
- Track your progress
- Evaluate: What worked? What didn’t? What saved money?
The weekly money check-in helps us course-correct quickly and make sure we’re both on the same page. Even if the savings are small, they add up. And over time? They add up to a lot.
7. Buy Used First (And Shop Smart)
This one’s part of our “frugal hierarchy”: look for free first, then used, then new if you must.
This is a lifelong rule in our house: Never pay full price!
Before we spend a penny, we run through our frugal hierarchy:
- Can we get it free? (Buy Nothing groups, neighbors, family)
- Can we find it used? (Facebook Marketplace, thrift stores, resale apps)
- If we have to buy it new—can we get it on sale, with a coupon, or cash back?
We also use tools like Rakuten to earn a little money back when we do shop online. It takes a little extra effort, but it’s one of those frugal living habits that consistently saves us big.
Your turn!
Which of these easy frugal habits are you already rocking—and which one are you excited to try next? Drop your thoughts in the comments.
Hi, I am moving into an apartment that has no microwave. I Do not want to buy the cheapest or the most expensive. It is a small kitchen. I have seen your white microwave (think it is a microwave) in your videos. Anyway, what microwave do you have and are you happy with this. Love you both.
We got it from Menards. It’s a Criterion. It is small and it was cheap. I’d say we’d give it a 6 on a scale of 1-10. It just doesn’t cook fast enough. It doesn’t use much energy, but it takes forever to cook things. Also, the buttons are covered by cheap plastic, which has not held up to everyday use. Just a stab or two with a fingernail and that plastic tears. I’d recommend the size, but I think you are better off spending just a little more and getting one that is better made.