7 Surprisingly Frugal Habits of The Rich and Famous
Who’s not fascinated by the lifestyles of the rich and the famous? They lead cool, mysterious lives.
Yet, many live surprisingly frugal – well below the extravagant images we envision. Despite acquiring immense wealth, these people are happy to be resourceful. Which only adds to their mind-blowing prosperity!
How do the world’s super-rich manage their finances? Discover 7 surprising frugal tips that unveil the secrets to their financial success.
“I think frugality drives innovation, just like other constraints do. One of the only ways to get out of a tight box is to invent your way out.”
-Jeff Bezos, founder of Amazon
1. They Save Big Money
Prioritizing saving money is a common trait among the affluent. And they increase their savings as their income grows.
You might remember Jay Leno for his fancy classic cars. But while he hosted the Tonight Show on NBC, he saved all of the money he made from the show. As much as $30 million per year! He only spent the money he made from stand-up comedy touring.
2. They Don’t Care About the Joneses
Wealthy people don’t have debt. They just don’t. They know that a key to lifelong financial success is living below your means.
Plus, instead of giving in to the allure of flashy items, they invest in quality items that last. They also prioritize spending on experiences rather than things.
Billionaire Warren Buffett still lives in the same house he purchased for only $31,500 in 1958. Although he’s worth over $80 billion, he drives an old Cadillac.
3. They Budget Even When They Don’t Have to
Even the super-rich have a budget. And the discipline to stick to it.
Senator Elizabeth Warren popularized the 50-20-30 budget rule in her 2006 book “All Your Worth: The Ultimate Lifetime Money Plan.” She called it a “good rule of thumb” for getting your budget in order.
Best-selling music artist Ed Sheeran gives himself an allowance of only around $1,000 a month to keep his finances in check and avoid waste.
4. They Stay Healthy
Growing your wealth becomes challenging when you have health issues and spend endlessly on doctor’s visits and medications. And without good health, no amount of success or money can make life better.
If you exercise regularly, eat well, meditate, and proactively manage your health, you’ll save anywhere between 15% – 30% in the long run.
Oprah Winfrey meditates and exercises after waking up each morning. Bill Gates starts his day with cardio.
5. They Clip Coupons
Kristen Bell shares her frugal financial habits despite her multi-million-dollar wealth.
“I almost exclusively shop with coupons,” Bell told Conan O’Brien. “The best coupon you can get, possibly in the world, is the Bed Bath and Beyond coupon.”
Bell is also known for her frugal choices in apparel and fashion. In addition, her wedding to husband Dax Shepard cost $142.
Other wealthy celebrities known to clip coupons include Carrie Underwood, Sarah Michelle Gellar, Hilary Swank, and Lady Gaga.
6. They Give Generously
A scarcity money mindset can lead people to hold on to their money. Many of the rich and famous give generously to causes they believe in.
According to Dave Ramsey, “Giving more moves you to become less selfish, and less selfish people have more of a tendency to prosper in wealth.”
Through their foundation, Bill and Melinda Gates have donated billions to enhance healthcare and reduce poverty.
7. They Put Their Money to Work
The super rich and famous have another thing in common. They’re not afraid to invest. They know that to grow wealth, their money needs to be working even when they’re not.
Actress Jessica Alba founded her own company the Honest Co. But did you know that she has also invested in startups like Headspace and Managed by Q?
Small steps guide you on the path of wealth-building. Copy these simple but brilliant frugal habits of the rich and famous and you’ll see impressive results too!
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