What am I missing?
Sure, he takes it to an extreme not all could stomach, but there is practical advice in there for almost anyone in my opinion.
I think the optimal spending for most people -- i.e., the amount of spending that would maximize happiness -- is far lower than the amount that most people actually spend (in large part b/c people work at jobs they don't love to earn money to buy stuff they don't need). Much of it is wasted on mindless luxury that people come to believe is necessary and that doesn't really increase happiness because of hedonic adaptation: http://en.wikipedia.org/wiki/Hedonic_adaptation Here's Mr. Money Mustache's piece on hedonic adaptation: http://www.mrmoneymustache.com/2011/10/22/what-is-hedonic-ad...
[1] http://newroadmap.pbworks.com/w/page/10458661/The%20Fulfillm... "'Enough' is appreciating and fully enjoying what money brings into our lives, yet never purchasing anything that isn't needed and wanted."
So I just googled "fulfillment curve" and one of the top results was from a mr money mustache forum post: http://forum.mrmoneymustache.com/antimustachian-wall-of-sham...
The way he writes it as "fulfillment curve" being in contrast with "MMM" makes me think you have a point.
What am I missing?
I think you're missing that the most gratifing things in live are not shoppable. Learning stuff, producing stuff. Seeing your kids grow. It's the difference between strawberries from the supermarket and strawberries you raised and harvested yourself. The feeling of sleeping the first night in a bed you made with your own hands.
Or, another example I just observed looking out the window: Here in Germany people often seem to think they need special clothing for the most mundane activities. They want to go cycling, first thing they do is go to a store and buy cycling clothes. It's ridiculous. As if you are able to ride longer or faster in pink polyester shorts with stripes. I think that's what that blog is about. Shopping is a distraction from real life.
edit: typo.
I think therein lies the main fallacy he argues so much against, do you need to buy crap to enjoy your life?
He gets to spend all the time he wants with his kid, or doing anything else really, how much is that worth?
MMM is like religion... take 10% of it to heart and you'll likely find something of use... throw the other 90% out.
I'll try this out when I have more time later, but I think it's worth noting that, of course, saving is only part of the equation. There is so much you can (and should) do to reduce expenses outside of the mundane day-to-day, as well! For great advice on pursuing financial independence or betterment, much of which has changed my life and habits, see: http://www.mrmoneymustache.com/ "Financial Freedom Through Badassity"