Muslims are justly balanced people. Islam teaches Muslims to adopt the path of moderation in all matters. Extravagance is forbidden in Islam. Islam tells us that those who squander their wealth are brothers of Satan.
“Squander not (your wealth) in the manner of spendthrift. Verily spendthrifts are brothers of the evil ones.” [Al-Quran 17:27]
“Do not spend wastefully.” [Al-Quran 17:26]
“And He it is who causes gardens to grow, [both] trellised and un-trellised, and palm trees and crops of different [kinds of] food and olives and pomegranates, similar and dissimilar. Eat of [each of] its fruit when it yields and give its due [zakah] on the day of its harvest. And be not excessive. Indeed, He does not like those who commit excess.” [AL-Quran 6:141]
If Allah has given us wealth, it is not appropriate to waste it. We should not be extravagant. The Prophet (ﷺ) said:
“If a woman gives in charity from her house meals without wasting (i.e. being extravagant), she will get the reward for her giving, and her husband will also get the reward for his earning and the storekeeper will also get a similar reward. The acquisition of the reward of none of them will reduce the reward of the others.” [Sahih al-Bukhari]
It is obligatory for all Muslims to give some of their wealth to poor and needy in the way of Allah. If this money is wasted in a spendthrift manner, it is a great sin.
Wasting food, wasting water, wasting electricity or any other commodity can be considered as extravagance. Allah and the Holy Prophet (S.A.W) have forbidden from extravagancy. Instead of wasting money in unimportant things, we must give it to the poor and needy.