The festive season can be difficult for many of us, especially as the cost of living rises, and we’re having to make our monthly income go further. But don’t worry – there are ways that you can manage your money to ensure you have the funds to make Christmas special for your family, from saving in advance to creating and sticking to a budget. We’ll explore these in more detail below. If a crisis hits, and you’re faced with an emergency expense in an already difficult time, pay day loans can help you with funds to manage unprecedented costs.
Is Christmas getting more expensive?
The short answer is, yes. Christmas is getting more expensive over the years – and this is happening for a few reasons. You could say that as technology is becoming more advanced, the value of the items on a Christmas list is increasing. But we all want to make Christmas the most wonderful time of the year for our families, which can lead to overspending. Another factor that may be causing Christmas to become more expensive, especially this year is because of the rate of inflation that we’re all having to deal with. This could cause an issue when it comes to managing the festive season this year, with the price of goods increasing rapidly, along with the general increase in the cost of living. Many of us will have to find a way for our money to go further, covering the costs of gifts, food, socialising, and everything else that comes along with Christmas.
How to deal with festive expenses
As the festive season approaches, you might be wondering how you’re going to get your finances in order to help you when it comes to paying for everything you need to make the Christmas period great for you and your family. Here are a few tips to help you prepare for Christmas, and help you stretch your money further.
Save in advance
In the months before Christmas, make sure you’re saving a consistent amount of money to help you cover the costs. Saving money in an account that’s separate from your current account means you can use this to help you buy everything you need for Christmas, without having an impact on your monthly cash flow. This means you’ll have the funds to have an enjoyable Christmas whilst still being able to pay your primary monthly expenses.
Make a budget
Make sure that you think about how much you can afford to spend – whether that’s in line with how much you have saved, or how much you have left over each month after you’ve paid all bills. Make a list of everything you need for Christmas and calculate how much this is going to cost. From here, you can make changes to suit how much you can afford. For example, could you cut down on the amount of food you’re buying, or choose a different supermarket to make it more affordable? Are you spending too much on presents? Be realistic – it’s the thought that counts after all.
Don’t overspend
Many of us will be guilty of overspending over the Christmas period, as mentioned earlier, many of us want to make sure that we give our families the best Christmas we can – but this can often cause issues with our finances. Making a budget and writing down what you can afford can help you to stay on track. You could also make a realistic list of everything you need and try to stick to it. When you’re doing your Christmas food shop, stick to the list and do not deviate and this can take you over your budget. Although many of us could keep shopping for Christmas throughout the month, try not to. Stick to your list, and your finances will thank you.
Get creative
Not all gifts have to cost the earth and getting creative with what you give people could help to save you some cash. Often, homemade gifts are some of the most treasured. You could bake Christmas recipes for your close friends, and package them up in a festive wrap. You could agree to gift your time to a close friend you haven’t seen in a while, rather than spending on gifts they may not use. There are many ways that you can treat friends and family over Christmas that don’t require you to spend a lot of money.
