People often go into credit card debt, overextend their budgets and start the New Year in a big deficit.
Gifts for Mom, gifts for Dad, gifts for Kids, even gifts for the pets! Gift-giving over the Holidays can be special and exciting, but tough on your checkbook! People often go into credit card debt, overextend their budgets and start the New Year in a big deficit. Don’t let this happen to you this Season! We’ve come up with some helpful tips to ease the strain on your wallet.
Plan ahead
Having a plan is one of the best ways to keep your Holiday finances in check. Spend some time figuring out a reasonable budget for spending, and reconcile your purchases to stay on track. Make a list of all the gifts you need to purchase, and stick to the list! Usually, your aunt’s friend’s dog walker’s second-cousin doesn’t need to be included in your gift list!
Start saving early
If you have a total of your spending from last year, you might want to build your budget around previous spending. If last year’s spending had you spread thin in the new year, you may want to reconsider your budget limit and set a more realistic spending goal. Another approach is setting a price limit on certain gifts, then you aren’t left being tempted by the big-screen HD TV that’s out of budget! Some families also choose to set price limits for one another, which takes the guess-work out of wondering what to spend on others.
Do your research
Excited about getting your children the newest, hottest toy? Online research can help you be sure that you get the best price. Sign up for email notifications from retailers you plan on purchasing from so that you can receive updates regarding special sales, free shipping and other great deals. Online reviews are also very helpful, and can help you avoid buying something that isn’t what it’s cracked up to be!
Consider using a cash-only system
Taking out your budgeted amount in cash before you start shopping can help you stick to your budget and avoid the temptation of putting everything on a credit card. Whether you decide to stick to a lump-sum amount for all your shopping, or budgeting a certain amount per gift, this helps keep you financially stress-free! Check out all of our ATM locations for easy cash withdrawal at https://www.tdecu.org/find-a-location-atm/.
We hope these tips help you get your finances easier to manage this Holiday season. This way, all you’ll have to worry about it whether or not Grandma’s recipe for fruitcake is just right instead of whether or not you’ll be overextended financially.