With Christmas around the corner and the economy still in a recession, a lot of us are worried about our tight pockets. While we would all love to buy the perfect gift for our family and friends, we often over indulge in shopping. It’s difficult to track exactly how much you spend once you are in a crowded shopping mall, searching for a long list of presents. Its best practice to set a few ground rules for your shopping experience, before you even leave the house. Creating a budget for all the gifts you need can help you plan your trip better, as well as manage your finances better.
First things first – setting your budget is a critical step. Decide on how much you can spend this Christmas. Logically look at all your finances and decide on the total amount you’d like to spend for presents this year. Also, remember to include outside factors that can shape your budget. Many people get holiday bonuses, if that’s the case; make sure you factor that into your spending. Also, keep in mind some of the other expensive you’ll have to endure during the season, like traveling and decorating expenses. Over spending in one place can hurt your budget for another.
Once you’ve got a good estimate of the total amount you can spend on gifts, designate individual amounts for each of the recipients. Don’t aim at assigning an exact figure, a range can work too. Make sure you leave room for contingencies, more often than not; you will either find something cheaper than you thought or something just a tad bit more expensive. Give yourself some leeway, but also make sure you can stay within your total budget.
Using a credit card to shop usually leads to overspending. We often spend more than we decide just because we have the ability to do so. Hence, it is important to set a cap on the amount you spend. Getting a prepaid card is a really good option. It’s relatively simple to open an account and what’s more, you don’t need any credit history. Withdrawing cash is another alternative, but, like using a credit card, it’s easy to over spend and harder to keep track of purchases. You can easily set up a prepaid debit card with the exact amount you’ve budgeted for your shopping trips, ensuring that you won’t over spend.
Before you go shopping, do your research. Go online and check the prices of gifts you want to buy. Look up the mall you are going to visit and its featured stores. Almost all stores have their Christmas prices out in advance. This will help you get the best bargain, and make your budget go further.
Finally, enjoy your shopping without the tension of overspending. You will be surprised how relieved you feel by knowing that you are in control of your finances. You should be enjoying time spent with your family, and not thinking about how you are going to pay back all the debt you’ve accumulated over the holiday season.
First things first – setting your budget is a critical step. Decide on how much you can spend this Christmas. Logically look at all your finances and decide on the total amount you’d like to spend for presents this year. Also, remember to include outside factors that can shape your budget. Many people get holiday bonuses, if that’s the case; make sure you factor that into your spending. Also, keep in mind some of the other expensive you’ll have to endure during the season, like traveling and decorating expenses. Over spending in one place can hurt your budget for another.
Once you’ve got a good estimate of the total amount you can spend on gifts, designate individual amounts for each of the recipients. Don’t aim at assigning an exact figure, a range can work too. Make sure you leave room for contingencies, more often than not; you will either find something cheaper than you thought or something just a tad bit more expensive. Give yourself some leeway, but also make sure you can stay within your total budget.
Using a credit card to shop usually leads to overspending. We often spend more than we decide just because we have the ability to do so. Hence, it is important to set a cap on the amount you spend. Getting a prepaid card is a really good option. It’s relatively simple to open an account and what’s more, you don’t need any credit history. Withdrawing cash is another alternative, but, like using a credit card, it’s easy to over spend and harder to keep track of purchases. You can easily set up a prepaid debit card with the exact amount you’ve budgeted for your shopping trips, ensuring that you won’t over spend.
Before you go shopping, do your research. Go online and check the prices of gifts you want to buy. Look up the mall you are going to visit and its featured stores. Almost all stores have their Christmas prices out in advance. This will help you get the best bargain, and make your budget go further.
Finally, enjoy your shopping without the tension of overspending. You will be surprised how relieved you feel by knowing that you are in control of your finances. You should be enjoying time spent with your family, and not thinking about how you are going to pay back all the debt you’ve accumulated over the holiday season.
SHARE
