Tips to Help Keep Your Wallet Happy This Holiday Season

Maybe it’s the joyful music or the smell of cinnamon and warm drinks with loved ones but there’s something about the holidays that makes it a little difficult to stay on budget. According to the National Retail Federation, American consumers, on average, spent $998 on gifts and other holiday expenses. If your aim is to keep spirits high and expenses low, read on to learn how you could celebrate this special time without breaking the bank. 

Just as it is with grocery shopping, a list is incredibly helpful in helping prevent overspending. Without a list, you might find yourself wanting to throw in more tempting items into your cart due to the powerful lure of holiday marketing. Compile a list of the people you’d like to give a gift to and assign a set dollar amount for each person. This will help ensure you don’t go over your spending limit and will give you a better idea of what sort of gift to buy, making your shopping experience less stressful. 

If you find yourself a little late to the holiday savings party, you can still make an effort to save in time. Automate a small amount from your paycheck into a savings account specifically for holiday spending like Hughes’ Holiday Club Savings account to keep you from dipping into other financial accounts. 

Depending on the gifts you’re looking to give, you probably don’t want to wait last minute to do your holiday shopping, searching for the leftovers in every aisle, so the best way to prevent this is to start looking for retailers that are offering big discounts now or make a plan to buy during a specific day or weekend such as Black Friday or Cyber Monday. Look for early discounts and take advantage of cash back reward programs like the one offered by Checking PLUS, where account holders can earn an additional 50% cash back just for shopping at your favorite retailers through Rakuten, one of the biggest cash back providers. 

Taking the time to craft or build something for a loved one is always special. Not only is it a thoughtful way to let someone know you care about them, but it can also be a fun and creative time for the do-er, too. Does your mom love a good-smelling candle? Instead of going to the store, try making her one with her favorite scents. Is your friend or a family member in need of some housework? Consider giving them the gift of your time. Baking bread, cookies, and pies are also great ways to save while giving something special. Spend some time on Pinterest and research a few budget-friendly ideas to get you inspired. 

It’s easy to overlook your spending when you don’t see the funds leaving your hand. Instead, the shock can come once you see your transaction totals or get that credit card bill statement later. If you find it difficult to control your spending, try using cold hard cash with the envelope budget system. Add money to an envelope labeled “holiday spending” and spend using only money from this envelope. Once the funds from the envelope are finished, so is your shopping. 

The best thing about having a smartphone is that you have access to a world of information at any time, which means if you find the perfect gift but it’s over your spending limit, you can instantly scour the web for competitors who could be offering the same item at a much lower price. Try RetailMeNot, Honey and Rakuten while shopping online so you don’t miss out on potential savings. 

Tracking your spending is also a crucial part when it comes to staying within your budget. Use financial apps like Hughes’ myHUB to keep on top of your spending and look for ways to help you cut costs and put more towards your holiday goals.