Why Underconsumption Could Be the Glow-Up Your Wallet Needs

In a world where convenience reigns supreme and spending is just a tap away, it’s easier than ever to part with our money. Whether it’s an overpriced matcha latte, a PS5 portal to go along with your PS5, or another Shopee haul, Singapore’s culture of consumption is alive and well. As a young adult who has just joined the workforce with a wallet that feels lighter than it should, I’ve started exploring a concept that many of you might have encountered, underconsumption.

To many, underconsumption might sound like a rigid, miserly approach to life, something for people who hoard cash in milo tins or live off instant noodles. But stick with me. Underconsumption isn’t about deprivation; it’s about being intentional with spending and realising when we’re using money unnecessarily. In a country where consumption is practically a national pastime, this mindset could be revolutionary for our wallets and how we view consumerism.

If you’re on Seedly, chances are you’re already embracing some aspects of underconsumption, whether it’s tracking your expenses or looking for smarter ways to save. But let’s unpack why this concept deserves a permanent spot in your personal finance toolkit and how it can help you strike that elusive balance between spending and saving.

What Is Underconsumption, Really?

Underconsumption doesn’t mean cutting out all the fun in life. It’s not about saying no to bubble tea forever or avoiding every sale like it’s the plague. Instead, it’s about rethinking what’s truly necessary and valuable to you, being content and making the most of what you already have.

It’s about questioning:

• Do I really need this, or do I just want it?
• Am I spending out of habit or for genuine enjoyment?
• Will this bring me long-term value, or is it just instant gratification?

By consciously making these decisions, you’ll realise that much of what we consume adds so little to our lives. Instead of filling a void, it often creates new ones; a lighter bank account, cluttered homes, and even stress over managing the things we own.

Underconsumption is, in essence, a way to free yourself from the cycle of endless consumption and focus on what matters.

The Benefits of Underconsumption

More Savings Without Sacrifice: When you start practising underconsumption, you’re not just spending less, you’re spending smarter. By cutting out the things that don’t truly matter, you can save for the things that do. Whether it’s building an emergency fund, investing in your future, or even splurging on a meaningful experience, you’ll have more room in your budget for what truly counts.

Take Grab rides, for example. If you’re averaging 3 Grab rides per week, spending $20 on average, that adds up to $240 a month. By cutting down to 1 Grab ride per week for that unavoidable reason, you could save almost $160 to spend on something worthwhile!

Less Clutter, More Clarity: When you buy less, you own less—and that can be liberating. Our physical spaces often reflect our mental state. A clutter-free home can lead to a clearer mind, making it easier to focus on your goals and priorities.

Start small! For me, it began with makeup products. Did I really need the latest blush or foundation when I already had something that worked? By taking a moment to reconsider my decisions, I not only saved money but also avoided the pain of throwing away expired makeup (iykyk).

Next, I’m challenging myself only to buy new products once I’ve finished using what I already have. Wish me luck!

Appreciation for What You Have: When you stop mindlessly consuming, you start appreciating what you already have. You’ll find joy in simple things, whether it’s spending time with loved ones, enjoying a hobby, or just savouring a quiet moment.

Also, let’s not forget the planet! Every product you buy has a carbon footprint, from the materials used to the energy required for production and shipping. By consuming less, you’re also doing your part for the environment.

Striking a Balance: Spend Where It Matters

While underconsumption has its perks, let’s be real: bit everyone wants to go full minimalist. The key is finding a balance between saving and spending that works for you.

Identify Your Priorities: What truly makes you happy? Is it travelling, dining out, or upgrading your tech? Allocate your budget to these areas and cut back on the rest. For example, if travel is your thing, skip the daily bubble tea and channel those savings into your next trip.

Set a Budget: Use tools to track your finances, from budgeting apps to google sheets templates, the free resources available are endless! By tracking your expenses, you can see where your money is going and make adjustments. Set clear limits for discretionary spending and stick to them.

Practice Mindful Spending: Before buying something, pause and think. Ask yourself if it aligns with your goals and priorities. If it doesn’t, walk away. You’ll be surprised at how empowering it feels to say no.

Underconsumption doesn’t mean you can’t have fun. The occasional splurge is fine, as long as it’s intentional and within your means. Life is meant to be enjoyed, after all.

Why This Matters

Underconsumption isn’t just a personal finance strategy, it’s a mindset shift. It’s about taking control of your money, rather than letting your money control you. In a society where we’re constantly bombarded with messages to spend, it’s a quiet rebellion that can lead to a more intentional, fulfilling life.

I’ve seen how easy it is to fall into the consumption trap. But I’ve also seen the freedom that comes from underconsumption. It’s not about being cheap, it’s about being thoughtful. And in a country where financial security can feel out of reach sometimes, this mindset could make all the difference.

So, the next time you’re tempted to splurge, take a moment to reflect. Do you really need it, or is it just another distraction? By embracing underconsumption, you might just find that less is, indeed, more.

Read More On Underconsumption!

• Underconsumption: What It Means, How It Works, Example
• Understanding ‘underconsumption core’: How a new trend is challenging consumer culture
• Meet the millionaires living the ‘underconsumption’ life: They drive secondhand cars, batch cook and never buy new clothes

• ‘It is OK to be content with your simple life’: is ‘underconsumption core’ the answer to too much shopping?