Creating A Holiday Spending Plan
Finally! We are getting closer to the holiday season that is internationally marked as the season of giving and spending. Today, we will share several tips on how to save on holiday shopping and smart ways to create a holiday budget. Financial planning for the holidays doesn’t need to be a big challenge. It just takes a few smart holiday shopping budget tips and a dash of discipline!
Know How Much Money You Have
Have you ever checked your balance and it's $500 less than you were expecting? Minor daily expenses add up. Ensure you know how much money you have available after paying all your bills before you go shopping.
Is it your turn to host a holiday get-together? These can be little things that can add up! Be sure to budget for all expenses.
How Do You Start Budgeting for the Holidays?
Write a List of Holiday Expenses
Start creating your holiday budget by writing a list of everything you will need to purchase. You can create a plan for your personal expenses, including decorations for the house, extra beverages, food, and other goodies to make the holidays memorable!
- Decide How Much You Want to Spend
Perhaps the most important of our holiday shopping tips is deciding how much you spend this season. If you have a total of $1000 available, place $250 on the side for your personal expenses, dinners, decorations, and the rest. This leaves $750. If your gift list has 15 people on it. That means you can spend roughly $50 per person and stick to your budget.
- Create a Spreadsheet or Another Document\
Many people have access to online banking and instant notifications when they spend money. However, adhering to a holiday budget is always a bit tricky. It might be a good idea to create a simple spreadsheet to note down all your purchases during the season.
- Allocate Money for Each Expense
Pre-allocate money for each expense on your list before you leave your house. Knowing how much you can spend on decorations or groceries will help you plan accordingly and avoid impulse buys.
Put Together Your Shopping List
A well thought out shopping list is a must-have when budgeting for the holidays. Remember to take the list with you, only purchasing the items on the list.
Stop Procrastinating
Waiting until the last minute to buy all your gifts will throw you off your financial game plan. The earlier you can start, the more options you will find. Plus, shopping is so much more fun when you are not in a rush!
Consider Last Year's Merchandise
Things do not go out of fashion as fast as we think they do! This is a particularly good tip if you have any major technology items on your list. Do your children or nieces and nephews need the latest cell phone? Chances are, they will be thrilled with any technology device they get their hands on.
Make Gifts
One of the best money tips for the holidays is to create your own gifts.
If you need some inspiration, here are some easy and thoughtful DIY ideas:
Homemade Cookies (in a jar with a big red bow), Homemade Candles, Photo Albums, Voucher for free babysitting (or something that your loved ones spend money on, and you can do for free), Homemade Candy and more! There are hundreds of ideas!
*Content provided by Credit Associates.
