The most anticipated season of all is now upon us complete with the busyness of shopping, cooking, decorating, and endless holiday gatherings. We run here and there, hoping everything falls into its perfect place (as it always does) and before we know it, the calendar reads January 1st and the dread of looking over our shoulder and adding up another “Perfect Christmas” leaves us not only exhausted but beyond broke. So before the holiday season is well on its way, here are a few helpful tips for staying within your budget well into the New Year; now there’s a resolution you can cross off the list from a few years back.
1. Make a Budget, Write It Down and Stick to It! How many times have you caught yourself saying, “I’m not going to spend any more – after this (fill in the blank) purchase, that’s it!” Then, a few weeks later, you check your accounts and once again, you spent too much money and it’s back to peanut butter and jelly for lunch (and dinner) until the next payday. The good thing about breaking a budget is that everyone has done it at one point in time or another but the key here is to stop the habit before it can get out of control.
First, get some paper and a calculator or create an electronic spreadsheet and make a list of everyone you need to buy for. Second, set a limit to each person – you can either give the same amount to each person or set different limits – the choice is yours. Third, add up each amount and compare it to your total spending. It’s best to take it a step further and apply it to your monthly paychecks and expenses so you know how much you can’t spend in order to save more. Please also be aware that there may be some tweaking when constructing a budget and you may not get it perfect the first time you sit down with your figures. It’s startling to realize how much we intend to spend on others and once we start thinking and shopping, our budget gets forgotten.
I would also recommend creating multiple budgets around this time of year, such as a “decorating” budget or even a “food/entertainment” budget. But we’ll discuss that in greater detail in the other points. Although each person’s financial situation is completely different from one person to another, it is possible to still give and not be broke – remember, it’s the season of giving and reaching out to others – let’s focus on what really counts instead of how much something costs as a way to measure a “successful” Christmas.
2. Shop ONLY with Cash!!!
I can hear the groans already, “I hate shopping with cash! Who does that anymore?” Well, if you really want to go on that vacation in June or you need to pay off your charge cards, this is the best way to start! Going back to step “1,” once you have your shopping budget, say for example it’s $200, take your list, visit your financial institution to make your withdrawal and you’re off! I would also recommend keeping your cash in an envelope, so each purchase you make for your shopping comes and goes from that envelope only so it’s easier to keep track of your Christmas spending.
Remember the step of writing down your budget? The very purpose of writing something down is so that you can see it. So many times we swipe the debit or credit card and add up the purchases in our head and when we finally sit down and configure our spending, we discover we spent more money than we had planned to or more money than our accounts had. From my personal experience in the financial field, I cannot begin to stress how important it is to track and re-track your purchases when using plastic. With cash, when it’s gone it’s gone but as you track your purchases with cash, when it’s gone you’ll have all of your presents paid for (hopefully) – no credit card payments to worry about or negative account balances – the only thing you’ll have to worry about is wrapping your presents and getting them under the tree! What a relief!
3. Quick, Festive and Affordable Decorating
Each year, it’s the same Christmas tree, wreaths, lights, etc. and for families who are on strict budgets or have time constraints, here are some easy and fun tips for decorating. Once again, make a budget (see step #1) and stick to it. If you’re a family just starting out or the same decorations year after year are loosing their appeal, try thrift stores, antique stores or even dollar stores for inexpensive ornaments and decorations. Random vases, glass canisters and even mason jars are perfect containers to fill with inexpensive ornaments, tinsel, holiday ribbon, flowers, etc.
Do you have old or even new Christmas cards that you would like to display? Remove the current pictures in frames around the house with them and you have simple, quick and extremely inexpensive framed art in nearly every room. Want a family-friendly project? Replacing current pictures with pictures from previous Christmas gatherings are also a fun way to add warmth and meaning to the holidays as well.
Wrapping frames and other household items is also a fun and festive project that adds so much cheer and festivity to a room, hallway or even a boring office cubical. If you’re feeling extra crafty, clear ornaments are also a fun family project. Each person can paint or stencil their name, Christmas phrases or words on the outside, fill the insides with glitter, tinsel, ribbon, cut up wrapping paper or tea stained sheet music strips, smaller ornaments, flower petals, etc. Let dry, assemble and you have a personalized tree! The sky is the limit!
4. Giving Meaningful Yet Inexpensive Gifts
Inexpensive mugs filled with unwrapped holiday candy, hot chocolate or hot tea packets, and homemade cookies are great ways to express your gratitude to your child’s teacher, neighbors, the church’s choir director, mailman, babysitter, or even your hairstylist. One tip to keep in mind when searching for mugs: non-festive, everyday mugs work just as well and are usually cheaper and more practical for use throughout the course of the year. If you’re in the baking mood, homemade marshmallow beverage stirrers are also great additions to any mug set. Chocolate chips, stirrers and colored sugar can be purchased at many craft stores but if you’re feeling extra adventurous, try adding crushed candy canes or caramel for dipping, too! Easy, quick recipes can also be found online.
5. Clearance, Clearance, Clearance!
For me, my favorite part about the end of any season is the sales – especially at Christmas! But again, please keep your budget in mind – I’ve blown many of my budgets in the name of “sales” and it’s never pretty. Once your budget is set and you have made your list of what to buy, shop away! Around this time of year, many retailers will have their seasonal items half off starting the day after Christmas, but keep your eyes opened, sometimes the deals get better prior to the beginning of the new year. If you are in need of a new tree or other big purchases, such as outdoor light sets and decorations, this is the best time to get them. This is also a good time to stock up on Christmas cards, so they can actually be mailed on time next year; just as long as you remember where you hid them.
With just a few weeks left until Christmas, I hope this has left you with some affordable, practical and fun ways to welcome the giving season into each of your lives. As always, keep your budgets in mind, no matter what the season, and remember that blessing others is really what it’s all about each and everyday of the year!