Don’t expect your rich friends and family to get you a nice gift this holiday season
Rich people pinch pennies.
Nearly half of all affluent people say they won’t be spending more than $100 on any gift they buy this holiday season, according to a survey released Monday by CreditCards.com. Indeed, 44% of the richest respondents in the survey (those with annual household incomes of $80,000+) say they plan to keep their most expensive holiday gift under $100.
“Unemployment is low, but wages just aren’t rising, and even for high-income folks, that matters. It’s much easier to spend big during the holidays if you think a raise is on the way, but that’s just not the case for most people, so they’re choosing to be a little more frugal,” explains Matt Schulz, a senior industry analyst at CreditCards.com.
Here are four more things that show you rich people are cheap.
They shop at Walmart and Costco
Rich people like prices to roll back too. One in three people worth $5 million or more say they shop at Walmart, according to a survey of 1200 affluent investors by financial site Millionaire Corner; about one in four shop at Target. Warehouse Club Costco is also popular, with about half of rich people saying they shop there.
What’s more, high-end retailers are fast learning that rich people are frugal: According to a new report this year from the Wall Street Journal,“high-end chains, which raised prices incessantly over the past decade, are learning the hard way that even wealthy customers are hunting for better deals.” Matthew Singer, Neiman Marcus’s former men’s fashion director, told the Wall Street Journal that “even a very rich person can say, ‘enough is enough,’ when it comes to price.”
They can’t resist the dollar store
For every $5 spent at the dollar store, $1 of that is spent by someone who is making $100,000 or more, according to data released by research firm NPD Group. Rich people make about one trip a month to the dollar store.
They drive Fords and Jeeps
The most popular car among those raking in $250,000 a year or more: the Ford F-Series, according to data released in August by car site Edmunds.com. That was followed by the Jeep Grand Cherokee and the Jeep Wranger. (The Lexus RX and BMW X5 rounded out the top 5.) A spokesperson for Edmunds says that this is because “most of the wealthiest Americans look for their vehicles to perform the same kind of functional tasks that everyone else does.”
They clip a lot of coupons
Data from Nielsen shows that households making more than $100,000 a year were among the most likely to be frequent coupon users. “With the value offered by coupons, one might think that the lowest income households would be among the heaviest users. In fact, more affluent households dominate coupon usage,” Nielsen writes. A study from 2011, which also found that more affluent people used more coupons than their less well-off counterparts, notes that the affluent “don’t use coupons because of financial constraints but because they perceive coupons as saving them money.”
A deal is a deal — even if you don’t really need it.
This story was originally published in April and has been updated.
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