Holiday spending: A guide to not going broke over the Christmas period

Christmas and the holiday season are fast approaching (not to alarm you at all), and while this can be the happiest and most joyful time of the year, it can also be one of the most stressful times. The festive season comes with a large amount of extra expenses, and if we aren’t careful this can cause a major strain on finances.

With this said, it is vital to be able to pre-plan and handle your finances through the festive season to ensure you enter the new year on solid footing. Here are a few ways to be proactive and manage your finances this holiday period.

Create a realistic budget

It’s easy to get swooped up in the spirit of Christmas and not keep track of what you’re spending, but if you don’t want a rude awakening come Jan 1st, it’s best to implement a budget. Try and think about all your expenses over the holiday period: Presents, decorations, travel, eating out, etc. Write it out and be realistic with what you’re willing to spend.

Prioritise expenses

Identify what matters most to you. Is it having a delicious meal, giving meaningful gifts to one another, or just spending some quality time all together as a family? Whatever it may be, prioritise your traditions based on what matters most to you and your family. By doing this, you will be able to cut down on a few unnecessary costs.

Pre-plan your gift list

When thinking about who you are buying gifts for this Christmas, it’s okay not to buy something extravagant for everyone. Narrow your list down to your nearest and dearest and set a spending limit for each person, or better yet, do a Secret Santa! This will help you avoid all those little temptations to overspend. If material gifts aren’t working, try thinking of something more personal and meaningful like an experience that won’t strain the wallet. After all, Christmas isn’t only about giving; it’s about spending time with your friends and family (and eating lots of delicious food).

Utilise sales

Keep an eye out for sales and discounts leading up to the festive season. Most retailers will offer some kind of promotion in the weeks leading up to Christmas, so make sure to plan some strategic purchases. The Black Friday and Cyber Monday sales are two of the bigger sale events that will kick off at the end of November (so again, planning is a must!). Make sure to practice your smart shopping skills by comparing prices across the board to get the best deal!

Get crafty

If gift-giving is a high priority for you this season, get in touch with your creative side and give some DIY gifts a go! There’s no need to spend an arm and a leg when you can make it yourself. Whether it’s cards, wrapping paper, even decorations, this is hands down the easiest and most effective way to reduce holiday stress and costs, plus you’ll have fun doing it! After all, it’s the thought that counts, right?

Give yourself the gift of better finances by practicing these few tips. You’ll be sure to minimise your holiday stress without emptying your bank account, starting the new year strong!