During the holiday season, shopping for presents can bring on two things –emotional and financial stress! Over spending and running up large balances on your cards can lead to high interest charges in addition to your holiday purchases. It might also mean that you don’t end up paying off these charges until the spring or summer.
Start by thinking back to your holiday shopping patterns over the last 5 years. Choose a year that you bought gifts for everyone on your list, but spent a reasonable and affordable amount. Add the approximate charges for these gifts and then divide the amount by 12. The end number should be the amount you set aside every month. If you have no idea how much you have actually spent yearly over the last 5 years, sit
down and figure out right now what you can comfortably afford monthly and start putting the money aside.
Take the time to develop a budget that works for you year after year — allowing you to actual enjoy the holidays and still stay within your budget. It is important to plan ahead, make your lists and stay within your established yearly budget.
Learn how to shop for the holidays and enjoy them.