Successful Holiday Budgeting Tips

With the holiday season approaching quickly, budgeting for those holiday gifts is going to be super important. Not only will you have your reoccurring monthly expenses, but now you need extra money saved to purchase gifts for your loved ones. Here are some tips on how to prepare.

Figure out your expenses and make a list

Make a list of all your normal monthly expenses and then add all the gifts you intend to buy. Obviously, the monthly expenses should be the top priority, so once you know how much that is you can estimate how much you are able to spend on gifts or events. It’s super important to stay within you budget because nothing is worse than coming out of the holiday season in debt.

Set a limit for how much you are going to spend

Once you have a list of all your expenses, make a limit for how much you can spend. Many people don’t make a limit and overspend on their credit cards. This is a great way to end up in debt and paying interest on those gifts. No matter how special the person might be, giving up your financial freedom isn’t worth it.

Sales are everywhere

Check out the sales that are happening near you! Stretching your dollar will help you get the most bang for your buck. Huge retailers typically have flash sales or holiday deals. Make sure to have a shopping plan of where you want to go so you can check to see when their deals are. The best way to stay caught up on deals is to sign up for email alerts. It will save you the hassle of looking online every day to figure out if they are having a sale.

Don’t use a high interest credit card

Many banks and retail stores will offer discounts if you sign up for their credit cards, but then hit you with high interest rates. Credit Unions will offer the lowest rates available and many times have 0% APR for 12 months. This could be super beneficial when it comes to spreading out the cost of the gifts. Another option would be to go cash-only shopping so you can be sure that you won’t end up in any debt.

The holiday season is a fun time to spend with friends and family. Budgeting will help make this holiday season affordable and stress-free if done correctly!