How To Live Luxuriously on a Fixed Income
Living luxuriously doesn’t necessarily mean owning a mansion and flying in a private jet.
Instead, it can mean having strong enough finances that you don’t need to stress about money — and indulging here and there without depleting your nest egg. Some luxuries aren’t as expensive as you might think, and can be worked into your budget even if that budget is strict. Here’s how to live luxuriously on a fixed income.
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Find affordable luxuries that feel expensive
While many indulgences come with high price tags, there are ways to treat yourself without breaking the bank. For example, if a costly vacation is out of your budget this year, opt for a local winery tour. And if you do go on vacation, upgrade your trip with credit card rewards.
Some spas and treatment centers offer discounts for booking during off-peak hours. For people who enjoy luxuries like high-quality skincare products and linens, you can often find deals at retailers like Costco and drugstores on similar quality items.
Prioritize quality over quantity
Invest in durable, affordable luxuries like wardrobe staples and appliances so that you don’t need to keep spending money over and over — and to avoid taking on credit card debt or depleting your savings. Take the premium sheets example: If you buy high-quality linens once, they can last for years even if you use them everyday.
Prioritizing those quality purchases can help you live a life of luxury without having to spend on a replacement in the short term.
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Leverage loyalty and points programs
Some companies have loyalty programs that let you accumulate points and special deals, making it easier to get more out of your fixed income. While these programs vary based on where you shop, most retailers now offer some deals to loyal customers to keep them coming back.
Using a credit card that racks up points when you swipe and allows you to exchange those points for rewards is another way to save big on luxury goods and services. Many let you redeem points for flights, hotel bookings and other travel expenses, as well as gift cards and merchandise.
Compare your current card’s rewards program with others to make sure you’re getting most perks possible.
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Shift your luxury mindset
Reframing how you view luxury can help you get more out of a fixed income. Luxury isn’t just about spending money — it’s about spending money intentionally.
Consider the small purchases you can make that bring you joy, even if it’s just a latte from your favorite coffee shop or a meal out once a week. Spending money on experiences with friends and family may feel much more luxurious to you than an expensive watch or designer bag.