Plan Ahead for Holiday Expenses and Save!

November 01, 2023 by First Federal Bank

Holiday ShoppingSaving money over the holidays is a common goal for many people, as it can be a financially challenging time of year. Here are some effective ways to save during the holiday season:

Create a Budget: Start by creating a holiday budget that outlines how much you can realistically afford to spend on gifts, decorations, food, and other holiday-related expenses. Stick to this budget as strictly as possible. Keep a close eye on your spending throughout the holiday season.

Cut Back on Non-Essential Spending: Temporarily reduce or eliminate non-essential expenses to free up more money for holiday-related costs. This might include dining out less, canceling subscription services you don’t really use, or holding off unnecessary purchases.

Make a List and Prioritize: Create a list of the people you want to buy gifts for and prioritize it based on your relationship with them. This will help you avoid impulse buying and stay within your budget. Focus your spending on immediate family and close friends, and consider homemade gifts, personalized items, or experiences instead of expensive presents.

Shop Sales and Discounts: Take advantage of Black Friday, Cyber Monday, and other holiday sales to purchase gifts and other items at a discount. Look for coupons and promo codes when shopping as well. Before making a purchase, compare prices from different retailers, both online and in-store. There are many apps and websites that can help you find the best deals.

Start a Holiday Savings Account: Open a separate savings account specifically for holiday expenses and contribute to it throughout the year. This can help you spread the cost over time. If you don’t already have one, set up a new account now to help you get ahead for the holidays next year.

Use Cashback and Rewards Programs: If you have a debit or credit card that offers cashback or rewards, use it for holiday purchases to earn points or cash back that can offset costs. A great example is the uChoose program. Using your debit card ensures you won’t have to deal with a large credit card bill and interest payments as you enter the new year.

Remember, the holidays are about spending time with loved ones and creating meaningful memories, not just about extravagant gifts and spending. With careful planning and smart money-saving strategies, you can experience the holiday season without breaking the bank.

Categories: Personal Banking, Financial Education

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