According to PWC, US shoppers are predicted to spend around $1,530 on holiday treats, travel, and entertainment this festive season, representing a 7 percent increase from 2022. In fact, 40 percent of these consumers plan to spend even more than last year.
The holiday period can strain finances and emotions, especially if you’re trying to save money or those around you don’t share your financial worldview. If you’re like me, a Christmas enthusiast keen on celebrating without draining your wallet, check out the following seven strategies to help you establish a sound financial plan this festive season.
CREATE A FESTIVE BUDGET
Before you commence your Christmas shopping, develop a strict financial plan detailing how much you intend to spend. Scrutinize your financial situation to confirm that this figure is feasible for you. The funds you earmark for presents should be surplus to household bills. However, this doesn’t necessarily equate to the money leftover at the end of the month; provided you don’t dip into your rent money, you’re on the right track.
MAKE A SHOPPING LIST AND KEEP TO IT
Holiday gift shopping can entice you to overspend, so it’s essential to devise a budget plan in advance. Note down the central people who’ll be receiving gifts from you, together with an allocated amount to spend on each. The early birds catch the juiciest worms; by starting the gift shopping process ahead of the rush, you can prevent a sudden blow to your finances.
EXPLORE THE EARLY BARGAINS
Don’t keep all your spending for Black Friday, Small Business Saturday, and Cyber Monday. Frequent sales and deals are offered by most retailers throughout the year. These deals can net you quality items at affordable prices, and they also allow you to complete shopping before the holiday rush commences.
SEEK THE BEST POSSIBLE DEAL
Scour stores and websites for discounts and promotions to ensure you secure the best bargains for your holiday purchases. Prepare for sales events by utilizing price comparison apps or sites. Usually, super deals are offered between Black Friday and Cyber Monday. Do your homework on prices and explore web-based retailers who could have more attractive deals.
THINK DIFFERENTLY ABOUT GIFT-GIVING
As an affordable alternative to lavish presents, consider choosing homemade gifts, experiences or donations to charities. Perhaps spend time with distant loved ones; it could turn out to be the most cherished gift of all, without blowing your budget.
CREATE YOUR OWN FESTIVE DECOR AND GIFT WRAP
Penchant for creativity comes handy during the holiday season. A study by Hallmark shows Americans spend around $3.2 billion annually only on gift wrap. Creating your wrapping paper or holiday decor can save you money and offer a rewarding activity.
IMPLEMENT SUSTAINABILITY PRACTICES
Attempting to save on cheap items often result in those items deteriorating quickly, thereby wasting money and adding to the landfill. Choose gifts that have minimum packaging, like concert tickets or vouchers. Send greeting cards made from recycled paper, or consider green gifts like steel water bottles, reusable grocery bags, solar-powered phone chargers, and recycled material toys. Additionally, you can never go wrong with homemade baked dishes. Remember to recycle as much as possible.
THE FINAL WORD
