Americans seem to be fed up with frugality

[bUU]

Restaurants sales at all-time high as recession fades - NBC News.com

They're either living in a different reality from me, or they're simply ignoring the reality that frugality is the new level spending plan.

 

[SumDay]

Happy to say that we did our part to add to that all-time high as we visited our children for a Mother's Day get away weekend.

 

[Live And Learn]

My restaurant spending has increased over 180% in 2Q vs 1Q. In 1Q I had one restaurant meal ($25 for two at a local mexican place) vs 2Q where I went for a "real" dinner out ($70 for two). Mia culpa.

 

[misty57]

We prefer to pick up filet and lobster at Costco. DH prepares them perfectly while we sip some wine; no tax or tip required and we get a great meal at a fraction of the cost.

I agree that there is probably a lot of frugality fatigue, but I wonder how many people have adjusted to a more frugal lifestyle and will not be completely returning to their old ways.

 

[W2R]

As the recession ever so slowly recedes, an increasing number of Americans say they are less frugal than they were a few years ago.

That didn't take long!

As for restaurant spending, well, I guess we are unintentionally bucking the trend. We are eating out as much as always (lunch every day), but my average monthly restaurant cost has gone down from $275 to $221 compared with last year at this time. We are just making less expensive choices this year. Water instead of diet Coke makes a huge difference.

 

[dmpi]

I really don't understand it. I see restaurant prices as high. I've been to some Asia countries where you can eat out cheaper than cooking at home but here in America you can cook at home for 1/3 the price of eating out. And this is the same country where folks spend 30K to remodel their kitchen with high-end appliances.

 

[W2R]

Ihere in America you can cook at home for 1/3 the price of eating out.

Or, to re-phrase this, you CAN spend three times as much eating out as it costs to cook at home. Or five times! Or twenty times! Or the same amount, at least here if you eat where we eat. Or less if you eat at places we tend to avoid. Restaurants buy their food in bulk, and this is how they can manage to run a business and still charge as little as some of them charge.

 

[ERhoosier]

Or, to re-phrase this, you CAN spend three times as much eating out as it costs to cook at home. Or five times! Or twenty times! Or the same amount, at least here if you eat where we eat. Or less if you eat at places we tend to avoid. Restaurants buy their food in bulk, and this is how they can manage to run a business and still charge as little as some of them charge.

+1

Recently DW & I have been eating more meals out but but spending less $$. With specials/coupons we often can eat out for same (sometimes less) than we would spend buying at grocery & cooking at home. And the more expensive places we used to frequent seem to be treating folks worse as they get more customers... which is a curious business model if you ask me.

 

[someguy]

+2

Our dining out and groceries expenditures have shockingly moved in a nearly 1:1 ratio. I figured it would be at least 2:1. Though, obviously, it is much harder to go crazy with groceries than with dining out.

+1

Recently DW & I have been eating more meals out but but spending less $$. With specials/coupons we often can eat out for same (sometimes less) than we would spend buying at grocery & cooking at home. And the more expensive places we used to frequent seem to be treating folks worse as they get more customers... which is a curious business model if you ask me.

 

[Donzo]

I really enjoy checking out resturants in my greater area and while on trips - after insurance costs eating out is my largest consistant expense. I could cut back but at this point I don't need to..

 

[David1961]

Some people really love the experience of dining out, and are willing to pay for it. Personally, I'd prefer to cook things at home.

 

[ziggy29]

My recent [-]unemployment[/-] [-]sabbatical[/-] "trial retirement" has given me time to really start delving into meal planning and looking through recipes and stuff for inspiration. While there is a *huge* difference in cost between planning your own meals and eating out for (say) a family of 4, it's not *as* large for a family of 2 even though it still is a fair bit cheaper.

I'm looking for ways to use one or two day old leftovers as ingredients for the next meal, as this drives down the cost even more. It's not always easy to do, but I've always been "creative" with cooking (taking after my dad) and rarely use a recipe anyway.

 

[W2R]

My recent [-]unemployment[/-] [-]sabbatical[/-] "trial retirement" has given me time to really start delving into meal planning and looking through recipes and stuff for inspiration. While there is a *huge* difference in cost between planning your own meals and eating out for (say) a family of 4, it's not *as* large for a family of 2 even though it still is a fair bit cheaper.

I'm looking for ways to use one or two day old leftovers as ingredients for the next meal, as this drives down the cost even more. It's not always easy to do, but I've always been "creative" with cooking (taking after my dad) and rarely use a recipe anyway.

Even eating leftovers at home, and cooking in bulk and freezing, I find I don't spend any more by eating out. YMMV and obviously does. I am sure we are both "right" and it is probably dependent on what is available in a particular community, plus I am cooking for one.

Also I have noticed that often those who discuss expensive restaurant costs include things like appetizers, desserts, wine/beer/cocktails, side orders of this and that, and other frills that I haven't indulged in for many, many years whether in a restaurant or at home. And then when they finally get to the main course, they eat the whole serving! That alone is probably four times as much food as one eats at home. I don't even drink diet soda at home, and this year we switched to water when we eat out, just as if we were at home.

 

[ER Eddie]

Americans have never been frugal, so the idea they are "fed up with frugality" is kind of starting with a false premise.

I'm glad people are out there stimulating the economy. Gives my portfolio a boost. I'll stay frugal. To me, it's a lifestyle, not a temporary adjustment.

 

[ziggy29]

Americans have never been frugal, so the idea they are "fed up with frugality" is kind of starting with a false premise.

It's been increasingly "against the grain" in the last 3-4 decades, but over the course of *most* the history of the USA, most folks have indeed become more frugal.

The spendaholic mentality really came into being in an era where a middle class with nearly unbounded optimism still believed in upward mobility, increased prosperity as we get older, raises that beat inflation and job/retirement security. Absent those factors the default behavior *has* been frugality.

 

[ziggy29]

Also I have noticed that often those who discuss expensive restaurant costs include things like appetizers, desserts, wine/beer/cocktails, side orders of this and that, and other frills that I haven't indulged in for many, many years whether in a restaurant or at home.

True. I've heard Clark Howard refer to appetizers, alcohol and desserts as the "Bermuda Triangle" of dining out in terms of being where many restaurants have the highest profit margins and make most of their money.

 

[daylatedollarshort]

We like going out to eat but I try to be frugal about it. I track where we go and how much it costs. With an Entertainment or other half off coupon, and going out at lunch instead of dinner, minus what groceries would cost for the same amount of food to eat at home anyway, and eating out for us can be a pretty cheap thrill. The net cost is probably $5 plus mileage. We drink water and don't get any extras.

I do often wonder about the statistics on low 401K balances for most people and how full the local restaurants are, especially the chains with mediocre American food that most people could easily make at home.

 

[W2R]

True. I've heard Clark Howard refer to appetizers, alcohol and desserts as the "Bermuda Triangle" of dining out in terms of being where many restaurants have the highest profit margins and make most of their money.

I didn't know that but I agree with him 1000%. Plus, restaurants make a lot of money by serving essentially four meals on one plate for the main course. And then, they also offer some very expensive, lavish choices as well as more reasonable ones. So, to compare apples to apples, choose the lunch sized grilled chicken dish that comes with a vegetable (not a side order, but on the same plate), and leave the steak and loaded potato for someone else. Then bring most of your meal home (or split with others), drink water, and order nothing else at all. Even so, the cost still depends on your community and what is available in restaurants and grocery stores.

 

[W2R]

The net cost is probably $5 plus mileage.

At about half of our favorite restaurants that is our gross cost, minus the mileage since we eat near home. No coupons (I should do that! But I don't care enough to bother).

 

[daylatedollarshort]

At about half of our favorite restaurants that is our gross cost, minus the mileage since we eat near home. No coupons (I should do that! But I don't care enough to bother).

Cool! You have me beat. Is the $5 gross for two or one, and what kinds of places do you eat?

We go out for food like Mexican or Chinese, say $9 a meal with one for free. With tax and tip (on the full amount) that is $13 less the cost of what we would spend on groceries anyway, as the restaurant portions are often enough for 2 meals.

 

[ER Eddie]

It's been increasingly "against the grain" in the last 3-4 decades, but over the course of *most* the history of the USA, most folks have indeed become more frugal.

The spendaholic mentality really came into being in an era where a middle class with nearly unbounded optimism still believed in upward mobility, increased prosperity as we get older, raises that beat inflation and job/retirement security. Absent those factors the default behavior *has* been frugality.

Well, let me rephrase then. During my lifetime, frugality has never been the default or normal behavior (I'm 51). So this idea that Americans are "fed up with being frugal" just strikes me as odd. Since when have they been frugal? Not since I've been alive and paying attention.

My definition of "frugality" is probably tighter than most, too -- derived from voluntary simplicity and leading cheapskates -- which is another reason why the article's reference to "frugality" (as reducing the number of trips to restaurants and buying fewer $60 bottles of wine) doesn't ring true for me. That ain't frugality; that's just cutting back a little.

I guess everyone has different definitions of frugality, though.

 

[audreyh1]

We prefer to pick up filet and lobster at Costco. DH prepares them perfectly while we sip some wine; no tax or tip required and we get a great meal at a fraction of the cost.

I agree that there is probably a lot of frugality fatigue, but I wonder how many people have adjusted to a more frugal lifestyle and will not be completely returning to their old ways.

Yep, that's where we get our king crab - no need to pay urge $$ at a restaurant when it's so easy to fix at home.

But we do go out to eat a lot - but for things I don't know or care to prepare at home.

 

[veremchuka]

As the recession ever so slowly recedes, an increasing number of Americans say they are less frugal than they were a few years ago.

I think as 401k and brokerage statements arrive people see the growth over the past 8 or so months and they "feel" richer. I think people generally are very careless with their money and in recent time, past 35-40 years, frugality has been as important as virginity. Easy come, easy go, people don't have the time or want to spend the time to make a meal and clean up.

I'm not a good example as I grow a lot of my food so eating at home has even less cost associated with it than for the average person. I've always been frugal and always will be but that's me.

 

[HFWR]

I enjoy "eating out", but prefer ma and pa funky places that let you BYOB.

 

[grasshopper]

A while back Bogleheads had a poll "How many $100 meals have you had in a year". I voted zero. Just came back from a week in Napa Valley and San Francisco, today I would have to vote way to many.