But what is 'luxury'? You may have in mind a Rolls Royce. But maybe he doesn't want that.

If they've been frugal their entire life, they aren't as far along the hedonistic treadmill, a new reliable car is a luxury.

If you're used to darning socks, buying new socks is a luxury.

If I buy a PS2 today, why is that not a splurge, if I didn't have one previously? Yes it doesn't have the best graphics but it's a step up from my PS1. Getting the latest and greatest just because, is keeping up with the Joneses. And that's a path to spending money, not happiness.

The knowledge that you have enough in your bank account if things go to pot, itself brings happiness