Thrifty People: Well Off or Out of Necessity?

[luvthemouse71]

Wow, there are so many interesting responses to this thread.

I was laughing when I saw the poster scrimping and saving over the pasta but then booking ADRs at Disney where the food is so expensive. That is totally me! I like to pinch pennies so that I can "splurge" when I go to Disney (even though when I do go I always try to do it as "budget" as possible--stay off-site, buy tickets in advance, etc.)

To the couple of posters who were critical of me buying some pants at Kohls instead of investing a lot of money in high-end clothes that will last a long time....

That is so not me. I'm not into designer clothing...the fanciest I get is getting some clothes at the Banana Republic outlet when they have sales. I'm always trying to lose weight, so it's hard to for me to commit to an expensive purchase in a particular size. Also, I've never had a big problem with my Kohls/Target/Gap/Goodwill clothes wearing out. The pants I had to replace I had probably worn 100+ times over the past 4 years and they were some off-brand I had bought used at a consignment shop. I rarely ever have to throw my moderately priced clothes away due to rips/tears/holes caused by low quality construction.

I agree. I have had no problems with the clothing I buy at Kohls. I don't wear used clothes, unless it was from a family member or a close friend. It just skeeves me out to buy/ wear used clothing. I know some people don't have a choice- just not something I'm comfortable with.

I've also had great luck at TJ Maxx and Marshall's with clothing and designer purses..I save lots that way too.

 

[tlh0726]

OMG! I LOVE this because it's me to a "T"! I'm frugal in many ways to pay for the expensive things I really want.

I always tell my kids, it's not that we make any more or any less money than most of their friends parents. It's all about how we choose to spend our money. While their friends are wearing brand name clothes and playing with American Girl dolls, most of them have never been on family vacation, let alone Walt Disney World a half-dozen times.

Exactly what we tell ours!

 

[Colleen27]

I think according to that chart, I'd rather be in the poverty level.

I generally find attempts to isolate culture based on income rather pointless. There's just too much variation. Poverty in my little farm town isn't going to look the same as poverty in the inner city. Around me, I'd say most people fit the "poverty" column of that chart regardless of their income - focusing on people/relationships, thinking in a local context, and generally having a matriarchal family structure. But at the same time, planning for the future tends to be more about legacy than stability - houses and farms pass from one generation to the next, connections/networking are essential, and family businesses often span several generations.

 

[danceintherain]

I really like that chart someone posted earlier. It's fascinating to sit there and try to categorize your associates (my bachelor's is in sociology, so my definition of "fun" may be a little different)
There are definitely A LOT of other factors though. I know individual people who fall in all three categories just because of something specific that was emphasized in their homes.

We're affiliated with the military, so I see a lot of different backgrounds trying to reconcile themselves against each other. In general, there's only 2 of the "classes" on that chart, because anyone who has money pretty much made it through the military, and the focus on "connections" is common across the board.

To answer your original question, from what I've seen both before and during the military, the lower income individuals tend to spend their money very quickly. The lines outside the ATM and in the commissary on pay day is an example of how that plays out in real life.
I have known a few people who manage their money really well regardless of how much they have, but I also know people who seem to have accumulated quite a bit of debt while they had a lower income, only to fight to discharge it after they start making more money. I think, in those cases, they have jumped from poverty to middle class and want to make themselves successful against their peers. I have also seen people who want to make themselves appear successful against their peers and don't have the income to back it up.

I do think is has something to do with social and physical mobility. If you're born, raised, and stay in the same place your entire life, then it would be very likely that your social standing will stay exactly the same, whether there are opportunities available to you or not.
If you move around, then your social circle will shift slightly every time you move, and you will start spending time with people who may think differently than how you were raised.

I also think that how you are raised doesn't necessarily determine anything, because I have a brother who is only 15 months younger than I am, and his attitude towards money has always been very different. When I went off to college and my income was well below the poverty level, I used the safety net of my parents only when absolutely necessary. His idea of "need" vs a "want" has always been different than mine, so the amount of money they've given him over the past few years has well exceeded the amount they ever gave to me.