As a self-proclaimed frugality guru and financial blogger, buying a new car—let alone a luxury Tesla Model Y—was the last thing I ever imagined doing. Yet, here I am, rolling up in a brand-new 2023 Tesla, a “crossover” loaded with all the bells and whistles: all-wheel drive, super-fast acceleration, space for seven, and more computer tech than your average tech startup. Oh, and it cost me around $52,000 after taxes and credits.
To put that in perspective, my old car—the one this Tesla is replacing—was a trusty Honda van I picked up off Craigslist 12 years ago for a mere $4,500. That van took me on countless adventures across mountains and deserts, and even helped me rebuild parts of my neighborhood. It served me well and cost me almost nothing, so why on earth am I swapping it for a car that costs ten times as much?
A Frugal Blogger’s Dilemma
If you’ve followed my blog for any length of time, you’ll know I’m a firm believer in living below your means. I’ve always advocated for avoiding unnecessary expenses, particularly when it comes to cars. In my opinion, most people drive too much, spend too much, and often end up with cars they can’t afford. It’s a culture of overindulgence that I’ve been railing against for years. So, why am I suddenly joining the ranks of those driving luxury cars?
Let’s just say, I’ve been wrestling with myself on this one. Even as I write these words, I can’t help but feel a little self-mockery. After all, I spent four years procrastinating on this decision, even as friends and well-meaning strangers pushed me to loosen up and “treat myself.” I couldn’t shake the nagging feeling that this was the wrong move—after all, it contradicts everything I stand for. But there’s a saying that has stuck with me for years, and it’s one I like to ponder every now and then:
“What got you here, won’t get you where you’re going.”
The Reality of Changing Circumstances
This saying isn’t just some motivational quote; it’s a reminder that our strategies need to evolve as our circumstances change. This philosophy applies to many aspects of life—especially frugality and financial independence. Let me illustrate with a recent experience at the grocery store.
I was picking up a loaf of Dave’s Killer Bread for breakfast with friends. Now, I’m used to buying it from Costco, where it costs around $4.50, but at this local store, the price tag was a shocking $6.99. My first instinct was to rebel:
“Seven bucks for bread? Are you kidding me?” I thought, imagining a slew of alternatives. “Should I boycott this rip-off?” I wondered. “Can I find a cheaper substitute?”
After some mental sparring, I finally came to a conclusion: “Just buy the bread, you idiot!” Because, honestly, no future version of me would ever look back and say, “If only I had saved that extra $2.49.”
This little moment in the grocery store perfectly captures my dilemma. Here I am, a financially independent man who has spent years perfecting the art of frugality, still battling myself over whether spending an extra couple of dollars is justified. It’s a bizarre paradox—on one hand, I’ve saved and sacrificed to reach financial independence, but on the other, I still cringe at spending money on anything beyond the absolute essentials.
The Frugal Paradox
The truth is, my friend and I both realized we were being too cheap with ourselves. Yes, frugality has served us well—it helped us retire early and accumulate wealth. But in the process, we had forgotten how to enjoy the rewards of our hard work. My friend, despite being extremely wealthy, still takes the bus to the airport because he can’t justify spending money on an Uber. He’s generous to others, often giving to charity and supporting local causes, but he has a hard time spending money on himself.
This is where the concept of “spending for the future” comes in. It’s not about mindless consumption, but rather about learning to enjoy life’s luxuries in a balanced way. So, my friend and I came up with a plan to make our savings work for us—not just for the future, but for the present as well. We agreed on three key strategies:
- The Minimum Spending Budget: Set a floor for essential expenses that are necessary for a comfortable life—whether it’s healthy food, a good place to live, or reliable transportation. This way, we ensure we’re not depriving ourselves, but also not splurging unnecessarily.
- The Dedicated Money-Wasting Account: Create a separate account just for fun spending—money that’s allocated for pure enjoyment, whether it’s a weekend getaway, a new gadget, or, yes, a luxury car. This account ensures that you can indulge guilt-free, knowing it’s part of your planned financial lifestyle.
- The Splurge Accountability Buddy: Find someone who shares your goals and values but can help you stay grounded when it comes to unnecessary spending. This person can be your partner in keeping your spending on track while also encouraging you to enjoy the rewards of your hard work.
Finding a Balance
Ultimately, purchasing the Tesla wasn’t about abandoning my frugal ways—it was about recalibrating my approach to life and spending. After years of living minimally and prioritizing long-term goals, I’ve reached a point where I can afford to indulge in things that bring me joy and add value to my life. The Tesla represents not just a car, but a reminder to enjoy the present moment while still being mindful of the future.
Life isn’t all about sacrifice and deprivation. Sometimes, it’s okay to treat yourself, provided it aligns with your values and long-term goals. And so, my $52,000 Tesla serves as a symbol of that balance: the balance between frugality and enjoying the fruits of your labor. It’s not about abandoning the principles that got me here, but about evolving with them.
