So last week, my group decided to do a one shot where we all played Warforged, mainly because we wanted to try out the race. And after an hour of roleplaying. the DM managed to get to the point where we got our quest and our promised reward was 100 gold each (as its a one shot, he was feeling generous). And almost as one, we all refused it because it was too much. We all collectively realised that Warforged don't eat, drink or sleep and they don't need to buy armour, so that removes half the reasons you need money. They can just stay outside at night, so they don't really need to stay at an Inn, and most of the good weapons you wouldn't buy anyway, but be in treasure chests or monster drops.

So apart from some basic funds to buy stuff you would need for your backpack (rope, torches etc), do Warforged actually need as much money as the rest of the party? And if you are all Warforged as we were, is it entirely within character to just refuse money and accept supplies instead?

I would agree that you don't need money for living expenses but it depends on the character. Maybe you are trying to be the BEST CRAFTER EVER and need money to buy the greatest materials to make custom arm and leg parts or something... I would imagine it would just be a matter of giving your character some other kind of gold sink other than traditional expenses. 

There is also a difference between needs and wants.

It says you don't need to eat or drink.  That doesn't mean a Warforged might not choose to.

In an old 3.5 Eberron game, we had 2 Warforged.  One philosophically followed the Lord of Blades.  It was on his way to becoming a Warforged Juggernaut and wanted nothing to do with the weakness of the meatbags.

The other was a Cleric who did his best to be humanoid.  He eat, he drank, he smoked, he pretended to sleep in a bed.  He had a total Pinocchio complex.

I would contend that Warforged need to pay living expenses the same as characters of other races, partly because it’s a game and that’s fair - they need a racial, class, background, or skill feature to negate this, just like any other race. The other part is that i think their expenses are different, but still the same price.

Part of the cost of living expenses is maintaining equipment. They still have to do this and would also need to maintain their living armor. Yes, they heal, but that doesn’t mean their plating and built-in tools don’t need maintenance. As a DM and a player, I think the money that would be spent on food, drink, and armor by another race is spent by a Warforged on maintaining their body. 

In addition to maintenance, you also have lodging. They may not need to sleep, but they do need protection. Sleeping outside comes with dangers: wild beasts, humanoids looking to take their stuff, and the inherent value of their plating and body parts. Parts of living magical constructs would certainly be prized in just about any world. In a dangerous place, they are a living set of useful materials to be plundered; a walking pile of money ripe for the taking.

Those two factors combined I think makes the case for living expenses. 

Beyond that, you also have other uses for money. Bribes and donations, entry into certain places, transportation, hired help, spell components, buying land, and building structures (strongholds, guildhalls, etc.) are just some examples of how money can be used. If your DM allows magic items to be purchased (like myself), money becomes even more useful. 

The usefulness of money in 5e is a whole separate issue in itself. It’s usefulness is highly dependent on the DM and the campaign. That said, I think it has the same value for Warforged as it does for other races.

@ Mittens, you make a good point about just hanging around outside.

DM could roll for random encounter for every night just standing around in an alley not sleeping.  

Quote from CWard83 >>

DM could roll for random encounter for every night just standing around in an alley not sleeping.  

Absolutely. If you’re staying outside of the city, you have to contend with the wilderness and what lurks out there.

There are two other things to consider:

• Weather - Warforged Resilience does a lot of things, but it does not make you immune to the effects of weather. There’s an argument to be made for immunity to extreme heat because you don’t need water, but that could just be as Anaya gen on the Con save.
• City Law - it’s unlikely townships will be fine with a bunch of Warforged just sitting in sentry mode somewhere. On top of the random encounters, you have to contend with finding a spot that is secluded enough to be out of sight. I would probably create a hotel for Warforged - little unguarded box-like rooms at the low end and high protection with amenities at the upper end.