Financial Festivity
It’s hard to believe that it’s already time to start thinking about the holiday season, but somehow, it is! Especially because planning ahead can make a huge impact on the level of financial stress that the holidays can bring.
Did you know… Adults spend an average of $997.79 on holiday gift giving each year. Additionally, 22% of Americans willingly go into debt due to holiday shopping. Sound familiar?
Setting a budget is the #1 way to keep your holiday spending in check, but it can be hard to set a limit for ourselves if we know we are going be pressing “green for credit” all season anyway. The great news is that even if you haven’t even considered the idea of budgeting this year, it isn’t too late to start. Using a weekly savings plan is a simple way to prepare your wallet for the season of giving.
12-Week Christmas Savings Plan
|
Week
|
Deposit
|
Balance
|
|
1
|
$20
|
$20
|
|
2
|
$65
|
$85
|
|
3
|
$30
|
$115
|
|
4
|
$75
|
$190
|
|
5
|
$40
|
$230
|
|
6
|
$90
|
$320
|
|
7
|
$50
|
$370
|
|
8
|
$100
|
$470
|
|
9
|
$60
|
$530
|
|
10
|
$100
|
$630
|
|
11
|
$70
|
$700
|
|
12
|
$100
|
$800
|
If this plan doesn’t fit your needs, create your own! Here’s how:
- Decide what amount of money you can comfortably put aside each week
- Multiply that amount by the number of weeks until you’d like to do your holiday shopping
- Use that number as your holiday budget
Creating a reasonable and personalized saving plan (and sticking to it) is the key to a debt free holiday.
Stretch Your Savings
Once you’ve got your budget, make every dollar count by using some of these creative savings tips & tricks:
- Save up to 5% by shopping online using sites like Rakuten or BeFrugal. These sites get a commission from retailers and use it to offer cash-back deals to their customers.
- Save up to 25% by buying discounted gift cards from Costco, Gift Card Granny, or Cardpool. Give the gift cards as presents themselves or use them in store to buy a gift instead.
- Save up to 30% by signing up for department store credit cards. This one is tricky and should be used sparingly, but stores offer huge discounts when you open a new credit account with them. Be sure to do this at a store where you can buy gifts for the whole family.
- Save up to 40% by using coupon apps like RetailMeNot to find coupons to retailers near you.
Nobody enjoys the financial stress that the holidays bring, but we won’t let that stop us from buying amazing gifts for the ones we love. Luckily, with some planning and a willingness to be a little thrifty, you can alleviate some of the financial impact of the holiday season.
Photo: ©iStock.com/fstop123
