How to Deal With Friends That Don’t Save Money

For most people, it is a lot easier to plan a budget and stick to it in the winter months. There is something about a sunny day and warm evening that just begs us to get out and enjoy it. But it is easy for one night to turn into a weekend and one fun weekend into another. Before you know it, your budget has started its own early migration out of your wallet.

This is especially true if you have friends that can enjoy a beefier entertainment budget, or aren’t as concerned about saving as you are. It can be hard to say “no” when the alternative is pasta night at home alone. Especially when no one event seems that expensive, but in the summer months, the sheer number of activities can break any budget.

Take control of your money, optimize your spending and grow your savings automatically

If your budget is feeling the pressure, here are 8 ways to mind your friends while managing your budget:

1. Plan For It

First and foremost, accept that you should enjoy your life and that entertainment is going to be a part of your life, and budget, so plan for it! It doesn’t need to be as big as your mortgage payment, but learning to save money every month means you’ll spend enough that you won’t feel guilty about going over and ruining your fun.

2. Make Suggestions Early

If you wait until the last minute or don’t have a plan at all, it is easy to end up at an expensive restaurant. Be quick to suggest cheap or free activities early so that people can prepare for them. You might find that your social group not only appreciates your initiative to plan lower cost events, they also will enjoy a wider variety of activities in the process.

3. Enjoy Home Cooking at Home

One alternative is to buy the food and prepare it yourself. Cooking at home instead of eating out can cost as little as 20% of the same meal at a restaurant – and saving money on groceries stretches that even further, even after doing the dishes yourself.

4. Potluck or Pitch-In Meals

If you are willing to host a meal, invite everyone to bring their own dish. Make assignments such as a salad, dessert or a main dish for everyone that will attend. If you don’t have someone who can host it, plan to meet at a local park and make it a picnic potluck. Not only do you enjoy a meal together, you can avoid babysitting costs by bringing the little ones along.

5. Enjoy Your Friends’ Expensive Tastes

You likely have at least one friend that likes to show off their money, or buy expensive vacation homes and toys. If they invite you to their cottage, go. If they offer to take you out to dinner, let them. People who buy expensive things usually like to share what they spend their money on, so let them do it. Just make sure you show your appreciation in other ways, like offering to babysit for them, mowing the lawn at the cottage, or watching their pets while they’re away on vacation.

6. Plan a Night In

It might be fun to get out and enjoy yourself the whole summer, but it can also get tiring. Planning a night in with the family isn’t just good for the budget – it can also be a nice way to spend time together. You might designate one night off per weekend, or one weekend off per month. Either way, you’ll find it makes the other nights out more enjoyable.

7. Avoid Peer Pressure

There will be activities you don’t want to go to, or that you just can’t afford. If that happens, don’t be afraid to just tell your friends you won’t be going. “It sounds fun, but it really isn’t my thing. I hope you have a great time, but I am going to sit this one out.” Don’t lay a guilt trip on them for planning an event you won’t enjoy – you’re an adult, so just be direct and let them know you won’t be going this time.

8. Tell People You’re Trying to Stick to a Budget

Most people are trying to save money and will respect you for actually succeeding at it. Tell them about your dreams and goals, and you may be surprised at how much they’ll try to help you reach them, even if they don’t put effort into saving themselves. Our guide on sticking to a budget has more on making this stick long-term.

The Bottom Line

In the end, your relationship with your friends is going to be the most important thing. When they’re ready to go all out and splurge, don’t be afraid to make the right decision for your family and future plans instead. Planning ahead for entertainment spending and suggesting low-cost activities when you can is how you avoid the kind of financial stress that quietly damages friendships.