I guess it depends on the magnitude of saving we're talking about. I have also seen people who work 12+ hours per day making a ton of money, and only give themselves tiny budgets for pursuing things they enjoy - one guy worked a full-time job and did 6+ hours of consulting every day, made well over $100k and lived in a relatively inexpensive area, but still only gave himself something like $50/month for eating out, books, entertainment, and the like. That is their call, of course, but I don't think I'd be very happy doing that.
On the other hand, though, there is an enormous amount of freedom and peace-of-mind that comes from having a healthy pile of cash and relatively liquid investments. If I look back at the 10 years or so since I started working full-time, my increase in income has been nice, but the increase in savings has improved my life substantially more.
I agree there's no point to being the richest person in the graveyard, but I'd prefer dying with a little excess money to being in a position where I was always a few paychecks away from serious financial trouble. Balance is key, I guess.