December 8, 2015
Saving Money Around the Holidays For 20 Somethings
The time around holiday season is when people are bound to go on shopping sprees often forgetting that they have a limited amount to work on during that time. It’s no wonder new year comes with a pile of debts. You need to shop smart so that you enjoy your holiday and face the new year with a smile. Here are a few tips that can help you cut back on your holiday spending and ensure you don’t accumulate credit card debts or tap into the amount you had saved for your child’s tuition the coming year.
You need a budget to work with
It is often said that the building block of any sound spending pattern is a budget. When you don’t have a budget , you are buying blindfolded and soon you will find everything is consumed right from your pocket, bank account, even to the credit card. A simple thing like listing down the things you will need to buy regardless of how petty they seem to be such as postage for Christmas cards, could go a long way in saving you from overspending. Put everything you will buy even if it costs you cents, in to the budget.
Let it be a cash-only Christmas
Avoid using your credit card during the holiday shopping period. You may easily overspend when you swipe the card. This could increase your credit card debt. Get some cash from a bank account or credit union and spend that. When it’s over, that’s all— no more.
Preemptively reduce your spending
You may want to reduce spending on other things so that you don’t go overboard with the Christmas shopping budget. You may want to minimize the trips you are making to the grocery shop and do with whatever you have in the pantry. Take water rather than having the pricey alcoholic beverages or sodas. The savings you get from this change in spending pattern can go towards financing your Christmas purchases.
Keep your gift list trimmed
You may find that you have so many people you want to offer gifts from work colleagues, family, to friends. You don’t need to gift everyone, hence you need to come up with a list of names that you have prioritized to offer gifts. Your spouse and kids should be at the top of list. You also need to gift creatively meaning that you can look for low-cost gifts that are unique and worthy to be called a gift.
Keep the cost of holiday party down
You don’t need to put all the burden of hosting a holiday party on your shoulders. Invite friends and family members to join you for a holiday party; however, ask them to come each with a cooking ingredient or component for the party. This is the potluck theme party where everyone needs to participate or contribute in one way or the other.
During the holiday season, you want to watch out how you spend. Your spending habits can spell financial burden, which you may have to live with for a long time. Using these kinds of money saving tips can help you cut back on holiday related debt and overspending.