How to Save Money With a Capsule Wardrobe

According to the U.S. Bureau of Labor Statistics, American households spent an average of $2,041 on apparel and related services in 2023 (the latest data available). That’s around $170 per month, and if you ask many people, they would still tell you they have a closet full of nothing to wear.

If only there was a way that you could stop spending money on ill-fitting clothes you barely like and instead curate the perfect collection of closet favorites that can last for years.

Enter the capsule wardrobe. If your budget is tight, this strategic approach to clothes shopping can save you money in the long run.

“I’ve helped clients build entire capsule wardrobes, consisting of 10 pieces that create over 30 outfits for under $700,” says Elisa Ellis, wardrobe stylist and author of “The Style Advantage: I Say What HR Can’t.”

Here’s what you need to know about capsule wardrobes and how they can help you save money.

What Is a Capsule Wardrobe?

A capsule wardrobe is a selection of clothing pieces that are timeless and easily mixed and matched with each other. It’s a minimalist concept that focuses on quality over quantity.

Capsule wardrobes were made popular in the 1970s, and again by Donna Karen in 1985. Recently, capsule wardrobes have seen a resurgence as people try to reduce their carbon footprint, declutter their closets a la Marie Kondo, and spend less.

“The easiest way to explain a capsule wardrobe is to think of it as the essentials,” says Rachel Weingarten, style expert and creator of Hello Gorgeous!, a daily beauty and lifestyle newsletter for women 40-plus.

“A capsule wardrobe is composed of quality individual pieces that aren’t necessarily memorable, but rather, work well alone or separately. They’re the staples that always work even if you grab them on your way out,” she adds.

[READ: How to Refresh Your Wardrobe Without Breaking Your Budget]

How Can a Capsule Wardrobe Save Money?

The goal is to have items that work together, Ellis says. “You want complementary colors that you can easily pair and style together, allowing you to create different looks without buying more clothes.”

Once you build a solid capsule wardrobe, you can free up the money that you were using on random clothing items and allocate it toward other goals. Capsule wardrobes can also improve your shopping habits in the following ways:

You’ll stop impulse shopping. “When you have a plan and know what you need, you’re less likely to buy pieces that don’t work,” Ellis says. She urges people to follow her “Power of Two” rule. “Before purchasing a new item, ask yourself: Will the item be worn in two seasons (spring/summer or fall/winter), and can you create two new outfits with it? If not, it’s not a great buy,” she says.

[Related:Shopping Rules to Slash Impulse Spending]

You get more out of each piece. “Instead of buying tops on sale you may or may not wear, when you’re intentional, you can buy pieces you will wear over and over in new ways,” Ellis says. Think of it this way: Would you rather spend $50 on a top you’ll wear 25 times ($2 per wear) or $15 on a top you’ll wear once?

You’ll be more mindful. Most people have impulse purchases in their closet with the tags still on them, but having a capsule wardrobe helps break this habit since all of your pieces work together effortlessly. “You also won’t spend any more wasted time standing in front of your closet not knowing what to wear,” Ellis says.

You won’t waste money on duplicates. Oftentimes, closets become so full that you don’t even know what you have, and you end up buying items you may already have hanging up or stored in a drawer or storage box.

How to Build a Capsule Wardrobe

Everyone’s capsule wardrobe could look slightly different depending on your personal style, body type, and where you work and socialize. “It can depend on age and stage and career and seasons,” Weingarten adds. Here are the basics:

1. The Ideal Capsule Wardrobe Size

Some recommend that a capsule wardrobe range from around 10 to 20 total items. Others suggest using a formula, such as selecting three items from each category (tops, bottoms, layering pieces), and then one special item (like a suit). What matters less than the specific number is choosing items that work for your needs, space and budget.

For example, Weingarten doesn’t think just three shirts is realistic for most people, even though that’s what some stylists recommend. “Let’s figure that you might not want to do laundry midweek,” she says.

To determine if you have a good-sized capsule wardrobe, Weingarten says to ask yourself: “Can you pack most of your capsule wardrobe in your carry-on?” If yes, then it’s probably just the right size. If not, it may be a sign to get rid of some items.

2. Key Pieces for Building Your Capsule Wardrobe

Tops: Focus on tops you can layer and style in different ways, such as a crisp button-down shirt, a sleeveless shell, a quality T-shirt and a turtleneck.

Bottoms: A great-fitting pair of dark wash jeans, a classic pencil skirt (if you wear them), khaki pants and black trousers

Layering pieces: A blazer, a cropped or structured jacket, a cardigan, a jean jacket and a vest

Special items: A sharp-looking suit, a beautiful wrap dress and a trench coat

Footwear: White sneakers, ankle boots, loafers and a classic heel

On top of this list, if there’s a particular item that’s part of your signature look, then go for it. “I think everyone could use a great leather jacket (or man-made variants if that’s your preference),” Weingarten says.

[Related:Do You Have Money Hanging in Your Closet? Clothes with the Best Resale Value]

Weave in Some Personality

While many experts recommend sticking to neutrals for your capsule wardrobe pieces, don’t be afraid to go beyond white, black, navy, gray or tan. For instance, Weingarten’s go-to jacket is a dark fuchsia. “Is it loud and noticeable? Yes. But I feel great when I wear it, and it’s flattering even when I’m jetlagged or feeling crummy,” she says.

As for the often-recommended white button-down or white T-shirt? No rule is set in stone. “I’m kind of clumsy, so a white shirt would be decimated in the first five minutes. For me, it might be a great denim shirt,” Weingarten says.

From there, you can use less expensive accessories to keep your outfits feeling fresh and on trend. A printed scarf, blingy broach, statement necklace or chunky belt can change the whole look of an outfit, for example. “Choose a color a season and use that as your highlighter,” Weingarten recommends.

A Clothing Mindset Makeover

Committing to a capsule wardrobe requires an upfront investment as pieces may be higher priced than stuff you’d find in the clearance bin. But over time, you’ll save money because you’ll stop mindless shopping, and the things you do buy will last.

Keep in mind, you don’t have to build your capsule wardrobe all at once, and can still use strategies to save, such as waiting for items to go on sale and using coupon codes.

“It’s not about sacrifice, but strategy,” Ellis says.

More from U.S. News

Inside the Psychology of Overspending and How to Stop

Less Is More: How to Live Below Your Means

Wants vs. Needs In Your Budget — How to Tell the Difference

How to Save Money With a Capsule Wardrobe originally appeared on usnews.com

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