Budgeting Ideas for the Upcoming Holiday Season

We have compiled some amazing Budgeting Ideas for the Upcoming Holiday Season! The holidays are literally around the corner and that means your wallet is likely to become a little lighter. However, by preparing now for the upcoming events of Halloween, Thanksgiving, and Christmas, you can limit yourself and expenses but still enjoy the season. Here are some great tips, tools, and budgeting ideas for the upcoming holidays. 

  • Set a Limit – Make a budget. Create a limit. Set expectations early on and stick to them. This is going to be your best bet when trying to not go broke during the holidays. There are plenty of ways to approach limit-setting and budget-making for the holidays. One thing you can do is download an app to track your spending. Some apps made just for this include:
  • Make a List, Check it Twice – It is easy to do. You see some great new gadget, sparkling toy or  Black Friday deal that you feel you cannot pass up. An easy way to get off course is with impulse buying. It can be hard to curb a good deal or see a product in person that seems like a must-have item. The best way to curb impulse buying is by making a list and sticking to it. You can take your time with the list and be diligent about cost and expectations. Remember, your list and budget should go beyond just gifts and include things like decorations, food, and alcohol.

    Also, be realistic about your budgeting with the kids. Your kids might have hundreds of ideas of what they want for gifts, but it doesn’t mean you have to cater to each request. Not all technology needs to be upgraded each year and not every toy must be purchased from their list. Set expectations and let your children know in advance how this holiday season will differ from years past.

  • Do Not Open a New Account – It might be tempting to open up a new credit card during the holidays. May companies promote amazing deals on interest rates, transfer fees, and so on. However, your credit card bill is not something you want to wake up to come in January. Instead, you want to add as little as possible to your credit cards during the holidays. Opening a new account is just a recipe for disaster.

  • Pay in Cash – A great method for sticking to a budget during the holidays is to use cash. You can start saving now by using an envelope system. Designate one envelope for things like gifts for kids, gifts for coworkers, holiday decorations, and so forth. Then, when it comes time to hit the store, you only have the cash in your envelope to spend. Swiping a plastic card is easy to do, but letting that cash leave your hand is a whole different experience
  • Find Unique Gifts – Not all gifts need to be physical items. You can trade in trinkets and gadgets for good old quality time. Perhaps the grandparents just want some time with their grandkids. Even an old-fashioned home-cooked dinner or family potluck is something that won’t break the bank. Being creative during the holidays can save big bucks.

  • Review What You Did Last Year – Nothing is as telling as what you spent during the holidays a year ago. Find the places where you went overboard so you can be diligent this time around. Perhaps you spent too much on stocking stuffers or you remember you had a ton of leftover Halloween candy. Learning from your mistakes and areas you overspent is a great way to keep more cash in your wallet.

  • Don’t Get Stressed – Easier said than done, getting stressed during the holidays is definitely something to avoid. Stress leads us to buy unnecessary items or rush through a shopping trip. Stress makes us emotional and can lead to bad decision making. Perhaps you need to shop with a friend to help cope with the holiday pressure or maybe this year you want to try to do it all online. Whatever your coping mechanism is, make sure it is out in full force this year.

Bottom Line

If you want it bad enough, you can be completely financially mindful this holiday season. You have the power to set real limits and expectations on your budget. You can choose to create new experiences instead of draining your wallet on trinkets. This year, make better choices for a financially happy January.