So you're saying that we should store dates as '2019-03-19'? That's just not done. Do we need to store the blanks in credit card #s too, which are usually printed on cards as nnnn nnnn nnnn nnnn to make them easier to read.
The display has nothing to do with how data is stored.
The Y2K method only saved one byte, and, yes, it was the correct decision at the time.
You love living in a completely theoretical world, where the logical design is never converted to physical design. Back in the real world, we have to follow the normal process of converting a logical design to a physical one, accepting comprises along the way.
SQL DBA,SQL Server MVP(07, 08, 09) A socialist is someone who will give you the shirt off *someone else's* back.