Set a
Holiday Budget... And Stick to It
by
Kimberly Danger
Do you know how much you spent on Christmas gifts last
year? Chances are you don’t. Too many people shop without a budget and
are shocked when the credit card bills start rolling in come January. It
is important to set a budget for your Christmas spending before you even
begin to shop.
How do you determine how much you should spend? There is
no clear-cut answer that works for everyone. The most important thing to
consider is what your own family’s pocketbook can handle, not what you
think others expect of you. If your family gives extravagant gifts, that
doesn’t mean you have to do the same. A good guideline is to only spend
what you can pay cash for; so you don’t fall into the credit card trap.
If you do get out the plastic, make sure that you will be able to pay your
bill in full when it arrives.
Now that you know how much you will be spending on gifts
this year, your next step is to write down everyone you plan on buying a
gift for. This includes everyone -- from your friends and family to the
tip for the paper boy. Now, you should allocate a part of your holiday
budget to each person. This number will serve as a guideline as you begin
to shop. You may be able to stay under your per-person budget on some
gifts, and on some you’re bound to spend more. But the important
principle is to stick to the overall budget.
Here are some tips on sticking to your budget:
-
Give handmade gifts. This can also be a great way to get your kids
involved. What would grandparents love more than a gift their grandchild
made just for them? If you are crafty yourself, get out the sewing
machine, your paint set, or that cross-stitch you never finished. Friends
and family will appreciate the investment of your time.
-
If you have a lot of family members to buy gifts for, suggest trading
names. Chances are you’ll spend less on that one person than you would
for the entire family, but they’ll get a nicer gift.
-
Suggest a "creative" gift exchange. I know a family that sets
a $5 limit on the gifts they give each other. Most of the gifts they find
are great -- thrift store finds, garage sale bargains or items from
clearance racks.
-
Host a party for
Pampered Chef, Discovery Toys, Creative Memories, Tupperware, Premiere
Design Jewelry ... You earn FREE products with each of these. Consider doing a party by e-mail!
-
Check out book, CD, and DVD clubs
that offer free gifts as a sign-up bonus. They can be a great way to shop for gifts. You
often get several free choices with your initial shipment, with only a few
more items to fulfill your commitment over the course of a couple of
years. Here are a few:
QPB, Columbia House,
Disney Movie
Club, and The
Good Cook.
advertisement
-
Give a magazine
subscription. Best Deal
Magazines offers hot titles for less than $5/year. Buy
an issue off the newsstand to wrap up to give the recipient.
-
Shop throughout the year. Begin on December 26th when all the Christmas
merchandise is marked down! That is an especially good time to get your
gift wrapping and ribbons for next year. If you see a great sweater for
your mother-in-law in February, buy it! That’s one less gift to look for
when the rush is on, plus you’ll spread out your spending.
-
Buy sets that can be broken apart. A set of 8 dessert plates and coffee
mugs can be separated into sets of two. Fill a plate with home-made
holiday goodies and each cup with a baggie of cocoa mix. Great as a
hostess gift!
-
Shop online. Web shopping can be a huge time saver. Not only do you
avoid the crowds and waiting in line, you can also avoid sales tax. Plus,
many sites are offering free shipping on orders more than $100 this
season. Be sure to visit our
online deals
forum for valuable online coupons to help you save even more on
your order.
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