With the holidays coming up, many of us have big plans to host large get-togethers, travel to visit loved ones, or go on vacation and buy gifts for family and friends.
Unfortunately, many times our budget doesn’t match our plans. If you’ve ever been worried about how you’ll be able to get through the holidays without a mountain of debt, the sight of decoration and cheerful music can be enough to stress you out.
Don’t worry! We’ve compiled tips to help you manage, save and balance your finances to prepare you financially for the holiday season.
Set a Budget
Make a list of items you’ll be spending money on, such as travel expenses, grocery items, and gifts. Once your list is done, look through it again and see if any items can be trimmed, consolidated, or cut altogether. Your edited list of holiday expenses will help you figure out a dollar amount that you can reference and stick to as you prepare to start shopping.
Trim Spending Habits
Try to find expenses you can remove from your regular spending habits to maximize your holiday funds. Avoid stopping for coffee, cancel unused subscription services, and brown bag your lunch rather than going out to eat. The money you save from these expenses will add up and pad your pockets shopping during the holidays.
Shop Early
Don’t wait for retailers to start promoting holiday sales to start buying your holiday must-haves. If you start shopping early you’ll be able to compare prices, and spread your spending over several months, so you’re not draining your account all at once.
Cash In Rewards
If your financial institution offers rewards points or cashback, the holidays are a perfect time to consider using those perks to your advantage. You’ve already earned the points or cashback and are waiting to be redeemed for merchandise that may already be on your loved ones’ list, gift cards to stores you already plan on shopping at, and cover travel expenses instead of using your own money.
Use Helpful Resources & Tools
Utilize your financial institution’s Skip-A-Pay programs to skip your qualified loan payment, then use your loan payment funds for the holidays. Not interested in skipping a loan payment? Your credit union or bank still has helpful tools to help you during the holidays. Use your online or mobile banking platforms to track your spending and set alerts when you’re close to going over budget.
Open a Christmas Club account
A Christmas Club account encourages account holders to save up for the holiday season by making deposits to this special interest-earning account, to avoid spending your money too soon. Then the money from the Christmas Club account will get deposited into your primary account before the holiday season begins, so you can start shopping.
Soarion Christmas Club Savings account offers convenient direct deposit and automatic transfer options, and a great interest rate to allow your money to earn dividends. Plus there is no minimum opening balance requirement and no monthly service changes.
Budgeting for the holidays can be tough, but getting prepared for the holidays can be easier if you apply this advice to your finances.
