It’s officially less than 100 days until Christmas. Yes, we did say Christmas. Why are we talking about Christmas so soon? Because now is the time to start saving.
December can be an expensive month for some, many may wait until the last minute to do all of their Christmas shopping and see themselves entering the New Year will a lump sum of debt on their shoulders. That’s why we recommend you start putting away a small amount of money aside now so that you’re not dealing with a hefty bill at the end of the year.
So, here’s what you should consider for the run up to Christmas:
Set up a budget
How much do you spend every year on Christmas? Apparently, the average household will spend around £500 during the festive period, including presents, food, travel and decorations. We’re not surprised, we always seem to indulge during the Christmas period. That’s why we recommend setting yourself a budget to ensure you keep in line with your finances.
Make a list of the family and friends that you will be buying presents for and set an amount for each person.
We also recommend setting a budget for Christmas parties, there’s no need to purchase a fancy new outfit, or buy a round of drinks if you’re tight for cash. Set yourself a spending limit and don’t go overboard.
You should now be able to determine how much money you should be putting aside each month to ensure you are on top of your finances.
So,...how much should you save?
Be realistic, don’t commit to putting away an amount each week or month, that is unachievable. You don’t have to put away £50 or £100 each month, any spare change or even a £10 will suffice.
It’s important to know what you can afford, if you are able to, try setting a side a bit more on a regular basis.
Fresh Christmas ideas
With all these fancy new gadgets, there’s more pressure than ever for us to try and please our loved ones. But this can cause us to overspend, and overspend with money we don’t have.
Consider suggesting some new ideas, such as family gifts instead of individual presents.
Take advantage of the sales
It’s as simple as that! Now, is the time to purchase those stocking fillers and gifts. Or we recommend you purchase an item a month to help spread out the costs. Shopping now will also save you the stress of the frantic Christmas shoppers.
If you’re worried about your financial situation this Christmas, contact Sensible Debt Advice. We can offer support and advice on how to handle your finances for the upcoming festive period. Call us on 01656 66142 or click here.