The temperature is dropping, the leaves are falling, and the snow is on its way. These are all tell-tale signs of fuzzy sweaters, hot cocoa, and most of all, the holidays. The holiday shopping season is close to being in full swing. If you’re wondering how you’re going to pay for this frenzy of shopping while keeping your checking account in the black, you’re not alone.
The most important thing to remember is to plan ahead: Have a set spending amount for gifts, wrap, entertainment, donations, and travel.
Make a list and check it twice
If your finances are tight you might have to evaluate your gift-recipient list to stay in budget this year. Once you trim your list, make a holiday treat or handmade token for those who got the cut. It really IS the thought that counts.
Once you have your list complete, figure out a realistic amount to spend on each person. Jot down a couple of gift ideas in your price range for that person.
Try a budgeting app like Mint to keep your spending in check. You can use Mint for regular monthly budgeting, but it also allows you to allocate more funds for holiday purchases. Using graphs and reports, it shows how much you’ve spent and how it will affect your budget in the months to come.
The iSpending app uses charts to show your expenses and how much you have left to spend, while CashTrails allows you to separate your normal expenditures from special purchases like holidays and travel.
Shopping
Most people want to avoid crowds, so they may hit stores earlier in the season or shop online. Retailers are well aware of this trend and are offering pre-Black Friday sales and discounts.
Spreading out your holiday shopping over several weeks also makes it easier on your budget. Always shop with a list and keep track of your spending. As you buy your gifts, subtract from your total budget.
In addition to shopping the sales and collecting coupon codes for online purchases, know when to buy. December is the best time to buy cars, appliances, winter clothing, and electronics. Also, know how much items cost before a markdown to know if you’re really getting a deal.
If you’re shopping online, order early and expect delays in shipping. Increased shopping during the holidays will affect already-strained delivery companies. To avoid shipping delays and higher shipping costs, shop at stores that offer “buy online, ship to store” service. This service is free at most retailers, some of which offer curbside pickup.
Get the best deals on cards, decorations and gift wrap during the days right before and after Christmas. Discounts of up to 75% off can shave a lot off your holiday budget for next year.
Entertaining
The best part about the holidays is getting together with your loved ones to enjoy each other’s company, which of course, can still be just as delightful when following a budget. If you’re hosting guests, keep costs down by asking everyone to bring their favorite side or dessert and include festive recipe cards with the chef’s name.
Use DIY decor featuring natural items, like holly and pinecones. Gather the kids and go on a hike to find outdoor holiday decorations. Not only will it save you money, but it will also give you some stress-free outdoor time with your family.
Travel
If you must travel home for the holidays, don’t forget to figure in other incidentals beyond gasoline and the cost of a plane ticket.
If you’re traveling by car, gas prices have luckily seen a steady dip. Still the GasBuddy app can help you find the best prices for gasoline wherever you are. Don’t forget to figure in tolls and any emergency costs that may come up.
If you’re flying, consider baggage fees, parking and shuttle costs and the expense of ground transportation once you arrive.
And don’t forget Fluffy! You’ll need to pay someone to take care of your furry friends. The Rover app can help you find pet care options near your home.
Charitable giving
The holidays are a time for goodwill toward all. But if your budget cannot accommodate a monetary donation, volunteer your time. If you can make a financial donation, be sure to check that the charity you are supporting is legitimate.
Keep your holiday dollars in check, and you may have some holiday spirit left over even after the last elf is packed away and the January bills start rolling in.
We at KCCU wish you all a happy, healthy and stress-free holiday season!
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