Warren Buffett is widely recognized as one of the wealthiest individuals in the world, with a fortune large enough to rival the gross domestic product of a small nation.

Despite this immense wealth, Buffett’s lifestyle is far removed from the luxury and glamour often associated with billionaires. He deliberately chooses a modest and frugal way of living, even though he has the financial capacity to purchase virtually anything.

To Buffett, money is not a symbol of social status. Instead, it is a tool for growth and long-term value creation. Funds that are not spent on unnecessary consumption are consistently reinvested to generate future returns.

This mindset has allowed him to maintain a simple lifestyle throughout his life, even as his net worth multiplied many times over.

According to New Trader U (Monday, January 19, 2026), here are five surprising things Warren Buffett rarely spends money on, despite being among the richest people in the world.

1. Luxury Cars
Unlike many billionaires who collect high-end sports cars, Buffett prefers practical and durable vehicles. He is known for using the same car for many years until family members suggest replacing it. His choices tend to favor functional American-made cars rather than flashy status symbols.

To him, a car is merely a means of transportation. Luxury vehicles depreciate quickly and come with high maintenance costs, making them a poor financial decision compared to investments that grow in value.

2. Luxury Real Estate
Buffett does not follow the trend of owning multiple luxury properties around the world. He continues to live in the modest home he purchased in Omaha, Nebraska, in 1958 for $31,500. The house represents comfort and personal memories rather than a financial asset.

Managing multiple properties requires significant time and expense, including taxes, maintenance, insurance, and staffing. Buffett prefers to dedicate his focus to more productive activities, such as analyzing businesses and reviewing financial reports.

3. Expensive Dining and Personal Chefs
With his level of wealth, Buffett could easily dine at Michelin-starred restaurants or hire a personal chef. In reality, his eating habits are remarkably simple. He often stops by McDonald’s on his way to work and enjoys Coca-Cola and Dairy Queen ice cream.

He chooses food based on personal enjoyment rather than prestige. In Buffett’s view, satisfaction comes from taste and preference, not from price or exclusivity.

4. Luxury Fashion and Accessories
Luxury watches, designer suits, and premium accessories are commonly associated with billionaires. Buffett, however, wears the same comfortable clothing for years and sees no need to signal status through fashion.

He understands that fashion trends change rapidly, and spending money to keep up with them is not a wise investment. Instead, he allocates his capital to financial markets that generate long-term returns.

5. The Latest Gadgets and Technology
Despite his close friendship with Bill Gates and his company’s significant investment in Apple, Buffett has been slow to adopt new technology. He continued using a flip phone until 2020 and only switched to a smartphone after encouragement from those around him.

He avoids the habit of purchasing new gadgets every year, viewing it as an unnecessary expense with little impact on productivity. Buffett prefers reading physical newspapers and annual reports over spending time on social media.

Warren Buffett’s lifestyle demonstrates that being wealthy is not about displaying riches, but about managing money with discipline and intention. His long-standing commitment to frugality and smart investing has been a key factor in building extraordinary wealth.

The key takeaway is the importance of aligning spending decisions with personal values and long-term goals rather than social expectations. With this approach, wealth can grow sustainably and deliver lasting benefits over time.