Budgeting for the Holidays

With the holiday season just around the corner, putting money back is key to avoiding the stress. While

budgeting for the holidays is a year around chore, creating a budget and saving today will prepare you for the holiday season.

Here are five simple steps you can take to save money for the holidays.

1. Eat at Home

Going out to eat is fun and convenient, consequently, it’s also expensive. According to The Simple Dollar, the average American family spends $225 per month eating away from home. Imagine if you were to put back $150 of that back into a savings account each month, over the course of the year you’d have $1,800 saved.

We’re not saying avoid going out to eat altogether, but cutting back is a simple way to save money

2. Buy Used

Depending on what gift you are buying, you can often find slightly used products for half the price of buying it new. Some cities have used books and CDs/DVDs stores. For items such as power tools or guitars, visit a pawn shop near you.

3. Shop for Deals

Being a savvy shopper is another way to cut your spending. Look through advertisements in the paper and at multiple retailer’s websites to compare prices. If you are tech savvy, use apps such as ShopSavvy to compare prices from stores to online retailers.

Additionally, websites such as slickdeals.net helps you find bargains and money-saving offers, discounts and promo codes from retailers such as Walmart, Amazon, Toys “R” Us and more.

4. Avoid Impulse Buying

We’ve all been there. You walk into a store for one item, you leave with five items you didn’t plan on buying. Impulse shopping is the foe of everyone’s budget. So how do you avoid it?

Make a list of everything you plan on purchasing and stick to it. If you are shopping for holiday gifts, set a spending limit for each person. If you’re still making impulse purchases, leave your credit cards at home and just use cash. You can spend what you don’t have.

5. Set up a Savings Account Specifically for the Holidays

One of the best solutions for budgeting for the holidays is setting up a savings account specifically for the occasion. At Communication Federal Credit Union, not only can you set up a holiday savings account, you can also deposit money from your checking account into your savings account automatically.

You shouldn’t have to spend the holidays worrying about paying for everything. Follow these steps to create a budget that works for you.

If you are interested in CFCU presenting budgeting tips to your employees or community organization, give us a shout at [email protected] or call us at 405.879.5677.

Have a tip that you’d like to share? Let us know in the comments below.