Everything Finance

The holiday spending season is upon us and in full-swing, with no signs of it letting up for quite some time. Each year, millions of Americans go into a spending frenzy from late November to early January and end up accumulating vast amounts of debt in the process. What follows is a brief list of financially sound practices for the holiday season that will help keep you out of trouble once January rolls around.

Set Limits

There’s no reason to go overboard. Set spending limits and budget your holiday spending. Once this is done, you must stick to your guns and not go outside of your budget. Setting limits with those you plan to exchange gifts with can help establish much-needed parameters as well.

Make the Kids Choose

Rather than having your children make a long, elaborate list of all the things they wish they could have, make them commit to one or two things that they really want. Generally speaking, kids are simply happy to receive something when the day finally arrives.

Avoid Using Credit Cards

This should be done at all costs. Why rack up a huge amount of debt over the holidays? Credit should be used sparingly and be set aside for true emergencies, not for frivolous expenditures. If you absolutely must charge something, include that as part of your budgeted amount so that you don’t continue to overspend.

Shop Around and Save Receipts

Throughout the holiday season, prices are going to fluctuate from one place to another. Shop around and find the best possible price. Right now, there is still plenty of time to make purchases online and have them delivered to you before things get too hectic. Save all of your receipts in case you find an item for a better price; this way you can return it and save some more money at another retailer.

Wait for Sales

If you can hold out until after the holiday season has passed, many items will be drastically reduced. Most of the time, something that you feel you may really want will be significantly reduced if you simply wait a few extra weeks. This particular practice works better when you are shopping for things for yourself rather than others.

About the Author:
This post was contributed by Kelly Kilpatrick, who writes on the subject of MBA admissions. She invites your feedback at kellykilpatrick24 at gmail dot com.


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