You couldn't be more right.
An example was a wedding I attended several years ago. I was only one of a handful of people who wore anything approaching special dress clothes, including the groom. At a small funeral, I was the only attendee wearing a suit.
If you look deeper, similar attitudes accompany willfully tacky dress. A lack of decorum in behavior and consideration for others - manner, frankly - seems to be tracking the trends in dress.
I've been to funerals where old gentlemen farmers wore their best bib overalls to it. No one judged them for it. In my death I would not wish to burden loved ones with the expense of purchasing formal wear in which that money could be much better spent on meeting their real needs.
As for myself? I can't wear a suit & tie. I can't wear a Tee shirt due to a neurological impairment. Pants won't stay up on me so I wear coveralls any place I go. I can't wear regular shoes either so I wear working boots. They support my feet and ankles which are now quite distorted.
My current and will be my last marriage my wife wore a long night gown. I was in blue jeans & a western shirt. Our own preacher who officiated our wedding said in church the next Sunday it was the prettiest and meaningful weddings he had done in his ministry. The other invited guest there including a priest and several nuns didn't take offense either.
When I pass from this world it will be my request to be buried in coveralls or overalls and my loved ones who show up for services do so wearing their everyday {in good taste} clothing. The last part in honor of my beloved wife whom can not wear a dress and must wear sweatpants everywhere she goes.
Clothing doesn't make the person as a rule. Unless the person wears clothing perhaps with a trashy {obscene} message on them or one obviously showing too much of the body I don't care.