The holiday season is approaching, and there is always a need to use money more than one usually would during the year.
However, holidays don’t mean that you should use every cent you saved during the year, nor is it an invite to be financially irresponsible.
Even though some people feel like the holiday season is where you squander your savings, one can still have the best holidays while spending wisely.
Here are some of the tips from Debt Care on how to budget and spend wisely during holidays.
Make a list of holiday expenses
First, you should make a list of all the holiday expenses that you will have. This includes gifts that you need to buy, cards, wrapping paper, travelling expenses, gift exchanges at work, charitable donations and decorations. This will give you a basic idea of costs that you will need to cover. Many people only think about the gifts and wonder why money is so tight in December even if they saved up money for gifts.
Decide on your spending limit
Determine how much you have available to cover Christmas expenses this year. When you are considering this amount, be sure that you only use money that you have set aside for Christmas or extra money that you can find in your budget.
Assign money to each category
Divide the money up over the different categories that you have. This means assigning a specific amount for each gift. This is also helpful when you brainstorm gift ideas. Having a set amount helps you find ideas within that price range.
Make a shopping list
Create a list for your holiday shopping. You should have one or two ideas within your price range for each individual. If you take the time to search the festive deals and sales, you may be able to find some great gifts for less money than you budgeted.
Track your spending
Alongside your shopping list, remember to also take your budget sheet with you. As you purchase each item, cross it off your list and subtract it from your running Christmas budget total. This will let you know how your budget is doing at all times and make it easier to make adjustments between categories if needed. Tracking your spending is the biggest key to sticking to your budget.
Also see: Make the most of the holidays with a wild day at Lion & Safari Park
