Beating the Holiday Financial Blues

Holiday seasons have always been a time for most people to interact and spend time with their families and those they love. But it can also be a period of intense financial difficulties at a time when you don’t need to worry about money. Quite often, you find that you’ve gone way above your budget, even with the tempting deals you may come across.

However, you can enjoy the holidays without breaking the bank. All you need is to plan a bit more and make adjustments where you need to, so you don’t go overboard. Try as much as you can to use these 4 tips: 

Decide Who You Will Buy Gifts

When you first think about gifts, it would be understandable to have only your closest friends and family members crossing your mind. But that’s not all. You could set aside some money to give tips and small payments to your children’s nanny, sanitation workers in your home, the mail dispatcher, and even your hairstylist. 

Factor in the Extra Holiday Costs

Although gifts take up most of the money you’ve set aside, there are other items to purchase that come with the celebrations. Think about the decorating costs and gift cards you might want to send out.

There could also be impromptu get-togethers with your loved ones that require you to prepare some food for your guests. It would also be a good idea to consider the fact that your family might want to eat at a restaurant, so that you can make room for such plans.  

How Do You Want to Pay for Your Expenses? 

It might sound more comfortable to carry a credit card around for your transactions, but that usually comes at a cost. Typically, your credit card company takes away about 2 to 3 percent of the amount that comes out of your account as transaction fees.

So, it would be a much better idea to have cash with you to pay for expenses, so you won’t have to keep incurring transaction fees. You’ll end up saving more anyway. 

Set Aside the ‘Wants’ from the ‘Needs’

During the holidays, there are some activities that you could do away with, especially if they don’t necessarily have to be done. For instance, fuel for your vehicle is a need, especially for traveling.

But eating at a restaurant isn’t a must do. Think about it: wouldn’t it be much more exciting to fix up a good meal for you and your family to enjoy in the warmth of your home?

The Importance of Creating a Budget

You don’t want to be left with massive financial burdens after all the fun and joy that comes with the holiday. Contact Heritage Bank today to gain more insights on how to come up with a reasonable budget for the holidays.