Don’t Want To Waste Money This Holiday Season? Do This

It seems like many people would like to avoid this holiday season altogether. Why? So they can avoid having to buy gifts after COVID-19 wreaked havoc on their finances.

If you’re in this boat, know that saving money, even at the end of the year, is much easier than you think. You just have to follow these tips:

1. Get in touch with friends and family.

2020 brought some extraordinary circumstances that caused many people to lose their jobs and see a drastic reduction in income. Chances are, someone in your social circle was adversely affected in this way. To reduce stress and avoid going into debt, get together with your loved ones, and see if you can change things up this year.

You can be sure that some families are putting holiday spending on hold for 2020 until things go back to normal. At the very least, you can make agreements to limit expenditures, so everyone enters 2021 both stress and debt-free.

One of the easiest ways to cut holiday spending within a group is to form a Secret Santa. It makes buying gifts incredibly simple by:

1. Limiting gift-giving to one recipient per person.
2. Including a spending limit per gift.

For instance, if you have a large family filled with kids, grandkids, nieces, nephews, etc., having a Secret Santa cuts your shopping list to just one person. No longer do you have to buy 50 gifts, making it much easier to keep your spending under control while saving you the time and stress that comes with holiday shopping.

If you’re worried about pitching this idea to family members, friends, or coworkers, know that there’s no better time to do it than in 2020. Most people may thank you for suggesting it, as the last thing on their minds is spending money they don’t have at the moment.

2. Create a budget.

Hopefully, the Secret Santa idea catches on, as it can make the task of creating a budget super simple. If it doesn’t, and 2020 becomes a “normal” spending year, you’ll need to make the budget anyway, as it gives you a guide to stick to so you don’t go deep into debt.

A holiday budget doesn’t only include gifts. Instead, it consists of every holiday-related cost that’ll result in cash coming out of your pocket.

In short, don’t forget to include things like food/eating out, travel expenses, decorations, gifts, and even minor items like cards and postage.

It’s crucial to make your budget realistic too. If you know you’re going to spend more than your budget limit, increase it so you can stick to it and avoid putting purchases on credit cards or getting personal loans.

3. Create a shopping list that sticks to your budget.

Lists are essential at not only saving time, but also stopping costly impulse purchases. Make it a goal to only buy what’s on your list – even at the grocery store – and you’ll always end up saving money.

Make a list of people you need to buy gifts for, including yourself. Assign a money amount to each. If your list exceeds your budget, trim it until you get it right. Then, armed with your list, start looking for the best deals online and in newspapers, so you get the most bang for your holiday buck.