We’ve all been in the situation where we know we need to save money, but we always assume that a life where you save money means a life where you give up on life itself. Or maybe it meant saying no to every invitation and becoming that friend who's "too busy saving" to have fun. After all, who wants to live like a sadhu, eat mundane meals, and give up everything that gives you happiness?

Let's clear up a big misconception: you don't have to retreat into a financial cave to be smart with your money.

In fact, you can save money and yet enjoy life. It's all about balance, not deprivation. Let's dive in and debunk some myths about frugality.

Myth 1: You Need to Sacrifice Fun for Wealth

It seems to be widely believed that, to save for something, you have to give up all the good stuff. No more nights out with pals, no more holidays, and, heaven forbid, no more series bingeing on a streaming platform. But here's the deal: you can have your gourmet meals and eat it too.

Instead of rejecting every plan, there are smart alternatives. Crave to eat out? Forget expensive restaurants and visit your street food joint. You still get that spicy pani-puri or the crispy dosa from the neighbourhood stall. You will still enjoy a good meal with your friends at some local place and not spend too much of your money. It’s the experience that matters, no?

Or, instead of going to watch the latest blockbuster at an expensive multiplex, arrange for a budget-friendly cosy movie night with your own snacks. You don't have to say no to fun—just say yes to the budget-friendly version.

Myth 2: Saving Money Means Cutting out All Luxury

Must you really deprive yourself of every little pleasure just to save? No. Please no. You just need to be able to splurge on life's little pleasures—and realise where you are spending.

For instance, instead of spending 25% of your daily wages on an overrated and overpriced coffee every morning, read up on how to make the perfect coffee and carry it with you. If it really is good, maybe being the coffee connoisseur could be your thing. A new identity and money saved.

But if there’s no place for compromise when it comes to your coffee (or any other habit), budget for it.

It's all about conscious choices. Rather than deprive yourself, go ahead and make a big deal about the luxury that really adds value to your life. Maybe it's a trip to the spa every month, or a good book, or a fancy Sunday brunch. Budget for it, and you won't feel like you're missing anything.

Myth 3: Saving Money Requires Extreme Measures

You don't have to be the next radical couponer living in a remote village just to save well. Being frugal does not mean that you have to start knitting your own clothes or even begin making your own furniture from scratch.

Begin with small, manageable changes that fit into your daily life. For example, instead of ordering takeout every other day, why not cook at home? An Indian kitchen is really a treasure trove of flavours, and a boiled dal or sabzi can save you tons and be healthier at the same time. Plus, you'll come to appreciate eating out on those rare dining experiences. You have to stress about deciding what to order anyway, why not stress about what to cook instead?

Another easy habit is automating savings. Set an automatic sweep of part of your salary account into your savings or investment account at the beginning of every month. You would not need to remember to do it, and there would be no hassle to try to save.

Myth 4: Saving Money Means Saying Goodbye to Exotic Travel

If you love travelling, then automatically, saving money may seem the biggest threat to your wanderlust. But who said you can't explore new places on a budget?

Lift your eyes from dream vacations to memorable experiences within your budget. Rather than fixating over tearing open a croissant in a cafe with a view of the Eiffel Tower, think about how that could be topped or what you’re missing right in front of you.

You could also take budget stays such as a homestay or a guesthouse in lieu of a really expensive hotel. These not only save you money but also give you a more authentic travel experience. Imagine you are with a local family in a very small village, having a meal together among the villagers—something which no five-star hotel will ever be able to provide you with.

Myth 5: Frugality Is Boring

There’s an elephant in the room: frugality can seem boring and mundane. But saving money can actually be a lot of fun if you approach it with the right mindset.

Think of frugality as a game—how creative can you get with your spending? Explore free or low-cost activities around you. Cities are always buzzing with cultural festivals, music gigs, or community events.

You’ll also discover the joy of simple pleasures like a relaxing walk in the park or a cozy evening with loved ones. And of course, there’s that unbeatable thrill when you snag a great deal, whether it’s a stylish outfit or a bargain at the local market.

Myth 6: You Have to Be a Budgeting Guru

When it comes to saving money, most thoughts turn to all those fancy spreadsheets and colour-coded expenses trackers. While those tools might help, you don't need to be a money whizz to do so.

Start simple with a budget. Try to break down your income so that 50% goes to essentials such as groceries, rent, and utilities; 30% for anons; and 20% for savings or investment. Or, you could just utilise an app that will even do the maths for you.

Axio’s personal finance management (PFM) features can come in handy here, allowing you to effortlessly manage expenses, track bills, and even split costs.

Remember, as George S. Clason said in The Richest Man in Babylon, building wealth is a journey. Start small and adjust your strategy as you go.

Find Your Balance

Saving money doesn't call for self-torture on your happiness or living like a hermit. It's all about balance between life's enjoyments and being financially responsible.

In fact, with thoughtful decision-making about spending, you need not be in the constant worry zone for the bank balance. So go ahead, enjoy that vada pav, plan that weekend getaway, and treat yourself to the small luxuries that make life sweet. Just do it all with a bit of planning and a touch of frugality, and you'll be well on your way to financial freedom—without the need to retreat to a cave.

After all, life is too short to live without joy, even when you're saving for the future.