I do not agree with this, our desires are not always about being rich or wanting more things. Maybe smaller things could be understandable, like wanting a new playstation 5 is a great understandable logical stuff, it is not expensive, it is not a big deal, and it shouldn't change your life.
And not all desires can always be fulfilled. I can even think that each of us has many desires both small and big, but the problem is that we often neglect the small in favor of something bigger. I had a wish that was probably cheap enough but had not been fulfilled until recently, namely an electric guitar. But other times I bought a motorcycle, while the cheaper guitar I ignored. It all depends on what you will prioritize, especially when you need it.
OP, having a stash of cash is the best way to help you have backup when you need it. We can't expect too much from other people's help, so keeping it in reserve is a good option to prevent problems. It might be good not to be too splurge, but that lust is hard to control.
Good point in terms of security. You should always have backup / savings like what you said. It's hard to ask help
when emergency comes to you, better to have savings so you don't need to bother anyone. It's more on balancing what you need
against what you just want.
Buying or consuming your money from the needs and save the spare is really an advantage. If opportunities come up, you can
use your spare money to invest or to put up your own business for more passive benefits.