Budgeting For Christmas
We all are enjoying the warm relaxing days of summer, but it’s not too early to think about budgeting for Christmas. Yes, Christmas shopping seems months away, but you will be surprised how fast it comes galloping up on us. Few of us like to work on a budget but with a little planning you can avoid getting into a cash crunch this Christmas.
Let’s run some Christmas numbers on our shopping habits just for fun:
- It seems 93.4% of American consumers plan on buying Christmas gifts
- Americans are expected to spend $1 trillion in holiday spending
- In 2019 the average American spent approx. $1,496 with $942 going to gifts
- 56.3% of Americans set a budget but it seems only 64% stuck to it
- 21.5% went into debt in 2019 with 27.5% having no plan on how they’ll get out of it
- We are procrastinators with 60% of us leaving shopping to the week before Christmas venturing out to shop
These numbers confirm one thing…we love the holidays. However, in loving Christmas we can certainly look at ways to avoid over spending. So, let’s see how we can spend smarter and avoid some of the pitfalls.
Avoid Budget Pitfalls
- Many merchants will offer free shipping. The numbers show 85% of us will take advantage of this cost saving.
2. Keep an eye out for sales. It seems 47% of shoppers will make their holiday purchases when an item on their list goes on sale.
3. Set a budget for each person on your list. If you spend less on one person, great. But, if you go over then readjust the expenditure on someone else’s gift.
4. Take advantage of rewards programs. Cash back and points accumulated throughout the year can be redeemed for gifts. Who doesn’t like to get something for free?
5. Don’t go overboard this Christmas, so keep an keen eye out for deals.
6. Overall, the best thing we can do is keep to our budget. No one likes the post Christmas shock of seeing a jaw dropping credit card bill.