I'm quite similar to you. I had a typical middle class upbringing. I may have the money to buy the things I want but I debate a lot inside on whether do I really need it or not at that point of time.
I've got my sudden urge to buy expensive stuff many times in the past. I do my full research on the product first and then I just forget about it for the next 2 weeks. If I still have the same level of interest and urge after those 2 weeks, then only I will take the next step. This has stopped me from buying a lot of unwanted stuff. My shopping carts are usually empty for the same reason.
Your friends and people around may have a lot of stuff which makes them "look" rich. But remember, being rich is different from being wealthy. Because trying to look rich seeking validation is where people end up in debt traps. And it's a never ending loop after that.
Need based more than want based. Rational more than emotional. That's how I prefer seeing money.
1.5L emergency fund in the bank is still better than an iPhone in hand (and literally everyone has an iPhone today, how is that even an achievement?)
It's okay to pamper yourself once in a while. But it shouldn't become a habit. Only you have the control on where you draw the line.