Explaining "Penny wise and pound foolish"

Reviewed and edited by

Anwar Kareem Today, 06:21

English.me team member

What does it mean?

The phrase means being careful about small amounts of money but careless about larger amounts, resulting in poor overall financial decisions.

Tone

Cautionary, slightly critical

Origin

The expression originated in England, where the penny and pound are units of currency. It has been used since at least the 17th century to warn against false economy.

Examples of usage

He saved a few dollars by skipping regular car maintenance, but now faces an expensive repair—truly penny wise and pound foolish.
Trying to save money by buying cheap shoes, but having to replace them often, is penny wise and pound foolish.
They cut corners on safety equipment to save money, only to pay much more in accident claims. That's being penny wise and pound foolish.