“Our utility bill was $1,200 last month. Can you believe it?” I gasped for air when a lady mentioned that to me. Did my bill go up, too? How could I afford $1,200 a month for utilities?
I rushed home, checked my Enmax account and found relief when I saw that I had locked my electricity rate for 5 years, and gas for 3 years. Which means I will be paying the $6.65/kW electricity rate for another 2 years, while my gas will go up at the end of this month. I was lucky.
And it turned out, I was lucky on other occasions, too.
I locked my interest rate for my condo’s mortgage last May, when inflation was just started to skyrocket. 2.6% for 5 years, not bad comparing to the 7% rate right now (May 2023).
Our home’s mortgage was locked since 2019 as well. 3% for 5 years. In 2019 when we purchased our home in somewhat a recession, we got the house at $30,000 lower than the asking price. Now, you might be lucky if you score a house $30,000 over the asking price.
But was it luck? Or we are just good planners? It might be both!
Our family is extremely frugal with money. You can call us thrifty, but it allows us to save and address the rising costs without stress. And that matters a lot to me, as being mentally and physically healthy allows me to live my life to the fullest.
So how do we save money? Below are a few major determinants that allow us to save:
We live as a multigenerational family. We share our mortgage, grocery, living expenses. We have three generations in the house with six people in total and two fur babies. It’s noisy and complicated sometimes, but overall, we are comfortable.
We thrift shop: for clothes and food. I rarely purchase new clothes anymore as my current clothes still works fine! We bulk purchase our food at discounted grocery/produce stores at a fraction of the price and the quality is somewhat comparable. My daughter wears second-hand clothing I got from Once Upon A Child, costing us $100/year. I also don’t buy her big plastic toys anymore; when we spend time at home together, we read books that we borrow from the library or do paper craft.
We invest in high quality and energy efficient appliances: Yes, we purchase expensive appliances (not thrifty here!) but in the long run, they save us money. Our items don’t break down as often, and we make the best out of them by using them every day. Our tankless water heater and new heating system save us on utility cost. For us, it’s worth the investment.
It takes us months to make a purchase: This allows us time to think through our purchase and see if we actually need the items. We are able to avoid impulse purchases this way.
We don’t feel the urge to chase those YOLO, social media hypes but we do travel, sometimes, for our family enjoyment: Travelling is expensive. And while it’s such a pleasure to experience a new environment, we don’t do it often, not until we are more financially stable. For now, we travel places that are closer, in the city as they fit with our family lifestyle and needs.
We spend money on experiences and food rather than items: We invest in family activities and less on material things because materials clutter our house and burden us. I want my freedom from material belonging.
Are we thrifty? Maybe.
Are we lucky? Maybe.
Are we happy and content? Yes.
With this lifestyle, I am still able to enjoy my hobbies, especially houseplants. I have two indoor terrariums now and over 30 thriving houseplants.
I can still enjoy meals with friends at a restaurant once in a while.
I can afford to travel once a year with my family.
I can still purchase fresh fruit and meat for our daily meals.
Weekly, we hang out with our daughter at local attractions/parks or go for bike rides.
I am happy that our family was able to make things work by making compromises and helping each other realize and recognize our own needs and wants. I am thankful that we are able to afford a life we desire and be content with it.
If you are struggling financially, be open, explore your options, take advantage of free and cheap things. It might be thrifty but on the expense of my mental health, I would choose being thrifty every day!