After a year where many of us have experienced extra financial struggles, the thought of festive season expenses can be stressful. Without detracting from the fun of festive season shopping, here are a few practical tips to help you budget and thus spend wisely.
Tips for Smarter Holiday Spending
- First, make up your budget for your normal monthly expenses like rent and groceries. Then make up your festive budget for extra expenses like gifts, travelling and special meals. Stick to both these budgets strictly.
- If you get extra money as a gift or even an end-of-year bonus, put some of it aside as savings for the months to come, instead of spending it all during December.
- When you go shopping, only take the cash you need. Leave your credit cards at home.
- Avoid spending time at the mall or the shops unless you need to be there. This way, you won’t be easily tempted to spend extra money.
- Look out for summer sales and specials to help you buy gifts at a discount.
- You don’t have to spend a lot of money on gifts to make your loved ones feel special. If you’re on a budget, give homemade gifts or offer your time and skills instead of buying material things.
- Festive outings don’t need to be expensive. Avoid events with entrance fees. Instead, plan a picnic, a movie night or a day at the beach or a park with your friends and family, and get everyone to split the costs.
- Cook and enjoy some of your favourite meals at home with your loved ones, instead of eating out at restaurants.
- Don’t buy things on credit; spending money you don’t have will cost you more in the long run.
As the festive season comes to an end, make sure you also set some clear, realistic financial goals for yourself in the new year, so you can start 2022 off on the right foot.