i wanna know the meaning of "cut your coat according to your cloth" and where we use it?

Question

again a homework of english class, i wanna know the meaning of "cut your coat according to your cloth" and where we use it?

Answer 1

to only buy what you have enough money to pay for. Of course we'd love a huge expensive house, but you have to 'cut your coat according to your cloth.'

Answer 2

It means "use your resources wisely". If you cut your coat according to the cloth, you make the most of the cloth and don't leave too much waste.

It is a very british saying and you might use it if as a warning.