How To Avoid A Holiday Financial Hangover

Media / Blog

How To Avoid A Holiday Financial Hangover

Prev

I’m Going To Sell My Tech Firm For Millions. Now What?

December 18, 2014
  1. Set yourself a budget. Most people overspend during the holidays because they don’t go in with a budget for each person they are going to buy presents. Typically, when you go on an impulse shopping spree, you often spend more than had originally planned for before the shopping excursion.  My recommendation is to set a clear budget with a fixed dollar amount per person, and then work yourself backwards.  Remember, it isn’t always the amount of gifts that somebody gets . . . it’s the thought of the gift that counts. If at all possible pay cash and stay away from the credit cards.
  1. Think about what you are going to give people who work for you, with you, or who help you. People such as the mail person, trash collectors, paper delivery people, etc. If you’ve got people that work in your house or do work for you in a regular basis, think about how much cash or what small gift you are going to get them. It’s best that if you give a gift, keep if uniform among this group with a limited budget.  If it is going to be a money gift, it is typically to give anywhere from $10 to $50 depending on the type of work they have done for you.
  1. Be smart about giving gifts at work. First of all, it is not mandatory or necessary to give gifts to your co-workers. If you got 20 people that work with you, it’s often difficult to figure out what to get and where the line stops on who gets gifts.  I recommend doing some sort of secret gift exchange with a dollar limit so it adds some fun and keeps the cost down.   Hand written note cards with small gift cards can be a great idea, or a magazine subscription so they will think of you all year long.  I might even recommend just doing something nice such as bringing in a specialty cup of coffee with a donut or muffin one morning.
  1. Watch your budget with your family, especially your kids. I have three kids so I know this. Is this going to be the toy at the bottom of the chest that you gave them last year, or is it something that’s going to end up in a drawer with all the other toys from years before?  Stick with fewer gifts versus more, but put thought into what your kids will really use.  Relatives will usually fill in the extra joy of having a few more things to open for your kids, so stick to a few nice things.
  1. My last thought which is a little radical is to consider doing gifts after holiday time instead of the big holiday days. Enjoy those days with small gifts, food, family, and fun, and then all agree to go shopping after December 25th.  If you do, you will all find bargains, and be able to get each other a lot more for a lot less as things go on sale during that time.   If you can delay the gratification, have everyone over on December 27th or 28th and exchange all of your gifts then.  It won’t lessen the holiday spirit but it will lessen the amount out of all of your walletsJ

Stick to these five holiday money saving tips, and you just might find yourself not having to make a New Year’s resolution to pay off your bills!

Written by: Ted Jenkin
Request a FREE consultation: www.oxygenfinancial.net

Next

Does Whole Foods Equal Your Whole Paycheck?

Sign Up

Sign up for our exclusive Sunday Paper with a weekly market commentary, insightful personal finance blogs, and life changing education guides.

Email sign up

Securities offered through Kestra Investment Services, LLC (Kestra IS), member FINRA/SIPC. Investment advisory services offered through Kestra Advisory Services, LLC (Kestra AS), an affiliate of Kestra IS. oXYGen Financial is not affiliated with Kestra IS or Kestra AS. Kestra IS and Kestra AS do not provide tax or legal advice.

This site is published for residents of the United States only. Registered Representatives of Kestra IS and Investment Advisor Representatives of Kestra AS may only conduct business with residents of the states and jurisdictions in which they are properly registered. Therefore, a response to a request for information may be delayed. Not all products and services referenced on this site are available in every state and through every representative or advisor listed. For additional information, please contact Kestra IS Compliance Department at 844-553-7872.

PLEASE NOTE: The information being provided is strictly as a courtesy. When you link to any of the web sites provided here, you are leaving this web site. Kestra IS and Kestra AS makes no representation as to the completeness or accuracy of information provided at these web sites. Nor is Kestra IS and Kestra AS liable for any direct or indirect technical or system issues or any consequences arising out of your access to or your use of third-party technologies, web sites, information and programs made available through this web site. When you access one of these web sites, you are leaving our web site and assume total responsibility and risk for your use of the web sites you are linking to.