Christmas is an occasion marked with joy and happiness. However, things may turn gloomy if your expenses race up. The post charts out the 10 ways how to save money for Christmas.
How To Save Money For Christmas
1. Create a Budget
Though Christmas is a reason to go out of the way and spend as much as possible, we still recommend you create a budget.
It might sound painful, but have a look at your bank account and how much cash you have to play with.
Use budget guides and calculators to establish how much you can spare and create a festive plan based on that.
If you need extra money to spruce up the Christmas celebration, cut back a few luxuries or take up some part-time job to earn money.
2. Prioritize your Spending
We all want luxurious meals, decked-up homes, the finest cutlery, and the latest game consoles in our homes- but sadly, overstretching your budget will not take you far away, especially if you are celebrating Christmas on budget.
You will never be able to fulfill all your fantasies, so better grab a pen and paper and start writing what is important to you to celebrate the occasion. Create a list of
- People to whom you want to buy presents,
- The place where you want to celebrate
- Where do you want to have Christmas dinner?
And then start thinking about how to make it work.
3. Beware of Flashy Deals
The festive season brings a load of deals, and it can be tempting to get sucked into the special offers. But don’t get trapped in deals that are of no use at all.
And only trust established retailers who can help you find out the products that you actually need.
4. Create a Budget for Dinner Arrangements
If you think that Christmas is incomplete if you don’t spend extravagantly on the Christmas dinner or meal, you are wronged.
Many hoteliers give you special deals on Christmas. You can grab some extra discount offers by planning the dinner dates in advance.
Related – 7 Personal Finance Habits That Will Make You Rich
5. Go Online to Check Offers
Several online websites turn out to be great vistas for buying gifts.
If you are stuck, you can even swap the gifts with gift cards at a fraction of the cost.
6. Plan Everything in Advance
Pick up Christmas essentials from sales that could mean big savings, sometimes around 50%.
Buy gifts in advance, so that you don’t have to wait for last-minute shopping.
You can also buy second-hand gifts online or at retail stores to save cash.
7. Go for Digital Cards
You could also embrace digital Christmas cards and save money on postage.
So, this is the way you can save on your postage expenses.
Related – 6 Best Money Habits To Start Before You Turn 30
8. Create a Christmas Savings Account
The moment you decide that you want to throw a party on Christmas, the first thing that you should do is to create a savings account.
By opening a Christmas savings account, you make savings your priority. Plus, you can easily track expenses.
There are many savings accounts that you can open up.
High-Yield Saving Account – A high-return saving account will let you save money and earn more returns throughout the year. It is a simple saving account with no minimum balance requirement, and they charge zero fees.
Separate Savings Account: Many banks let you have multiple savings accounts connected to your main account. You can easily transfer money with a click of a button. Plus, you can instantly transfer money to that account when you go Christmas shopping.
Create Cash Envelopes- You can save money in your home by creating cash envelopes. Set aside some money when you have enough cash in your pocket and spend it when the Christmas season rolls on.
Related – How Much Money Should You Save Each Month: 7 Savings Tips
9. Lower Down Your Expenses
It is an obvious way to pocket money for Christmas and transfer it to your Christmas savings account.
Here’s how you can cut back your expenditure.
- Take a printout of the last three months’ budget statement
- Total up the areas where you are likely to spend money
- Ask yourself questions like: Can I cancel these expenses? Can I negotiate it at a better rate? Can I get the best deal?
When you think like this, the chances are that you will be having a hard look at your spending. Another way to trim your expenses is to
- Cancel the unused subscription or
- Eat less outside in the coming months, or
- Do anything to save the expenses.
Whatever step you take, make sure that you are saving the extra money to celebrate Christmas.
10. Make Gifts on Your Own
It could be physical items like trinkets, stoles, or home-baked goodies like cakes and cookies. You can think of hundred other things.
The idea is to create memories within the minimum possible budget.
Bottom Line
Money is a scarce resource and the occasions may tempt you to spend more than what is required, but we still recommend you plan, budget, and go ahead with your Christmas celebrations.
It will make Christmas fun, and happy and reduce post-celebration stress.
