FDIC-Insured – Backed by the full faith and credit of the U.S. Government8 Holiday Budget Busters to Avoid
| Posted in Bank Blogs
The holiday season is a special time of year to give to others. There is, however, one precious gift you can give to yourself: the gift of financial security and peace of mind.
Sure, with all the sales and constant emails from your favorite retailers, it’s hard not to get caught up in the joy of the season and overspend. Here are 8 budget busters to help you prevent that from happening to you:
- Failing to set a budget. Weeks before the holidays, create your holiday gift-giving list. Then, look at your finances and determine how much you can afford for each person on your list. Once you set a budget, keep track of what you’ve bought and where your money stands.
- Buying unplanned gifts. Surprises are a part of life, so you may be surprised if someone presents you with a gift you didn’t expect, or if you forget someone on your list. To make it easier on yourself and more affordable for your budget, buy a few, reasonably priced universal gifts just in case, such as candles or picture frames.
- Shopping at the 11th hour. Holiday shopping can be stressful, especially if you wait until the last minute when inventory is picked over. You could end up paying more just to get a suitable gift. Do yourself – and your wallet a big favor – by carving out time to shop well before the holidays.
- Spending money on food. The holidays are a super busy time, which means you may break from your normal routine, like meal prep and cooking. That can lead to dining out or ordering takeout, which can be a budget buster. Try to plan your meals and avoid the food court at the mall.
- Overspending on entertainment. To celebrate the holidays, you may want to host an open house with friends and family or attend a special concert or event. That could end up costing you more than you can afford. You can still celebrate the season and get together in less expensive ways. Consider hosting a potluck dinner where everyone brings a holiday dish or arranging for neighborhood caroling.
- Decking the halls. It’s fun to decorate your home for the holidays, but it can be expensive. Try to limit spending on decorations by making them, visiting thrift stores, or recycling what you already have.
- Buying gifts for yourself. When shopping at the mall or online, you may see gifts you want to buy – for yourself. It’s tempting to purchase new clothes or the latest gadget for yourself but doing so can really strain your budget.
- Racking up debt. There’s an old saying about using credit cards. If you don’t have the money to buy something with cash, don’t use your credit card. Because let’s face it, nothing brings post-holiday blues more than carrying high-interest credit card debt.
Remember the best gift you can give yourself is financial security and peace of mind.