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Text and translation
English translation
3605. It was narrated from 'Amr bin Shu'aib, from his father, that his grandfather said: "The Messenger of Allāh ﷺ said: 'Eat and drink, give charity and wear clothes, as long as that does not involve any extravagance or vanity.'" (Da'if)
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Commentary
Extravagance and lavishness means spending in lawful matters excessively so that it becomes unlawful. Simplicity is a distinguished quality of a Muslim.
Preparing too many dishes for few guests and then throwing them away is also a kind of extravagance. Similarly, spending in useless entertainment also comes under this ruling.