Making a Holiday Budget That Will Always Work | Cleveland Bradley County Teachers Federal Credit

Are you an early shopper or a last-minute grab-what-you-can-find gifter? It seems like no matter when you start, the holiday season almost always sneaks up on you, filling your calendar and emptying your wallet.

There are lots of hacks for saving money this time of the year, but as much as everyone loves a good money-saving hack, who has the time to sift through them all and incorporate what will work best? Instead of just trying to stick to a few simple money-saving ideas that can easily go out the window once you hit the store, consider creating a holiday budget that you can return to year after year.

Even if you always have a number in mind when it comes to how much you will spend, creating a budget will help prevent overspending. Once you have created a solid, usable budget, you can rely on it when other big spending events pop up, as well as start your prepping for the next holiday season as early as you want.

Build a Budget

Just like with your everyday finances, the best kind of budget for the holidays is one you will use. Create something that is simple, clear and concise. You can break it down by person or family, or you could start with your personal expenses associated with the holidays—like travel expenses or hosting expenses—and filter down to reach a set amount.

Using a zero-based budget is ideal for the holidays. In order to create a good total for your spending budget, take a look at last year’s holiday and everything you purchased. Make it a goal to create a set amount per person that is even. That might be slightly higher for the kiddos in your life than the adults, but find a number that feels comfortable and fair. Set your priorities, and look for ways to cut back so that you can meet them.

If you love being the gift-giver, try and cut your costs on travel or hosting expenses. Plan a road trip instead of a flight, pack lunches to skip restaurants and stock up on groceries you can freeze ahead of the season.

You should also consider the other gift-givers in your life when thinking about what you will buy for your immediate family. If grandma loves outfitting the kids with a winter wardrobe, skip that expense and let that amount fill in another part of your budget.

Keep on Saving

When you do build a budget, make sure you aren’t pulling too much from your regular savings so that you can have a dreamy holiday. Unless you have specifically earmarked some of your savings for seasonal expenses, keep it where it is so that in the event of an emergency you still feel safe. Don’t stop any regular deposits that go into savings, either—instead, create a budget that allows you to shop till you drop without going broke.

Rather than draining your savings, employ some of those hacks to truly stick to your holiday budget without feeling like you skimped out. Start early, but wait to purchase big ticket items when Black Friday or Cyber Monday sales hit. Compare prices before you add to cart in order to get the best bang for your buck.

When you are prepared, you can have the holiday you want without becoming overwhelmed. Build a budget and find ways to save so you can enter into every season refreshed and full of joy—all while maintaining a solid bank account.

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