It’s been a trying year for most Americans, and we are all looking forward to the upcoming holidays.
While the end of the year is a time to celebrate, spend time with loved ones, and recharge, it can also result in financial stress.
According to a report by the online advertising firm, Rubicon Project, American consumers plan to spend an average of $1,175 per capita on holiday treats. You may want to travel to family, buy gifts for your loved ones and enjoy some festive entertainment. While it is all great fun, it can result in a lot of unplanned spending.
Here are a few tips to help you avoid impulse spending over the holidays that you might later regret.
The first thing that you need to do is to set a hard budget for your holiday spending. Once you have a figure in mind, set that that money aside and don’t be tempted to overspend.
The easiest way to get caught up in impulse buying over the festive season is not having an action plan. Make a list of the people you want to buy gifts for and set a dollar amount for each person. You also want to make sure that you have a budget for your holiday meal and any entertainment that you might want to enjoy over the holidays.
It is very easy to give in to impulse buying over the holidays, especially with all those tempting Black Friday deals. Before you whip out your credit card, take a moment and ask yourself a few questions:
When you enjoy your holidays, it’s easy to charge holiday treats to your credit card, thinking that you will pay it back in the new year. Unfortunately, unless you expect a significant pay increase or bonus, your income will not magically increase in 2022. Plan carefully so that what you spend over the holidays will not cause you undue stress in the new year.
