Christmas On A Budget

Christmas doesn't have to be as expensive as most of us make it. There are many things you can do to reduce your holiday spending without feeling like a scrooge.

I'll expand on my favorite tips in more detail below, but here are some quick tips to get you started:

- Pay cash for your holiday gifts. It's much harder to spend cash than credit, so this tip alone could save you hundreds of dollars this holiday season.

- If you have to charge your gifts this year, look for low interest rate options. This might be an in-store financing deal, or a credit card with a low introductory rate. Just make sure you pay the debt off before the higher interest rate kicks in.

- Avoid signing up for store charge cards just for the discount. This generally costs more in the long run because of high interest rates and other fees.

- If you have a large family like I do, then consider having a Secret Santa gift exchange, or doing group gifts so that you don't have to buy a gift for everyone in your family.

- Purchase wrapping paper, holiday cards and other decorations right after the holidays. Seasonal items are usually offered at deep discounts after the holiday, and they never go out of style. Stock up on clearance-priced items for next year, this year.

Finally, start a Christmas fund in January for next year's shopping. Many credit unions and banks offer special accounts just for this purpose. This will make next year's holiday spending much less stressful!

Keep reading for more tips to help you put Christmas on a budget this year...

One of the best things you can do to cut down on your holiday spending is to make a list!

Simply write down all of the items you expect to have to buy for the holidays, including gifts, decorations or food for parties and family gatherings. Be specific about who you plan on buying for and what you plan on buying for them.

Having a list will allow you to snag items as they go on sale, and it will keep you from procrastinating til the last minute.

This may be the best tip for saving money on gifts this year.

It is expected that retailers will be offering bargains and discounts far earlier this year than in previous years.

Starting early will help you plan better and make sure that you don't miss out on any of those deep discounts that we are expected to see from retailers.

Family holidays should be warm and cozy times for you and everyone you invite to your home. That isn't always the case in our busy lives.

Are you looking forward to your winter holidays with fear and trepidation? You shouldn't!

With some planning and organization - you can breeze through and ENJOY your friends and family this holiday season!

Create a spending budget for all of your holiday expenses, including gifts you plan on buying and all the extras like wrapping paper, decorations, and food for Christmas dinner.

For gifts, write down everyone you want to buy for this year, and set a specific dollar amount for each person.

This will be very helpful when you're shopping, since it's easy to get excited and go overboard on gifts. With your list in hand, you'll be more equipped and less likely to let your emotions overspend for you.

You can download a free printable holiday spending budget worksheet at TheMoneyWiseCoach.com.

Great article on keeping your Christmas budget this year from my friend Cara of TheHouseholdHelper.com.

Every year there are reports on the news about how deeply in debt people become every Christmas. It is possible to have a nice Christmas without maxing out the credit cards. Here are a few simple tips that could save you a bundle.

Hide the credit cards - By not using credit cards you are already a step ahead of the game. There's no worry about the interest and all those payments that come due after the first of the year. If you are already using credit cards carefully you might be able to continue using them for Christmas gifts, just be sure to pay it off when the bill comes due.

Make a list - Sit down and make a list of all the people you would like to give gifts. Once the list is made, stick to it. Decide how much to spend on each person and write it beside each name. Then when you go shopping there will be a price range for each gift. It will help avoid overspending. Even a dollar over expected spending can add up if there is a large shopping list.

Draw names - Many families help cut back on holiday spending by drawing names. Each person in the family only shops for one other person whose name they have drawn. Instead of buying several gifts, even if they are inexpensive, each person can get one nicer gift. This makes shopping easier too. Instead of trying to fill a huge list, just take your time and focus on getting that "perfect" gift for just one person.

Shop ahead - Get organized and have good hiding places. By doing this you can purchase Christmas gifts all year round, taking advantage of after Christmas sales, out of season and clearance sales. Go ahead and wrap and label the gifts. This helps keep people from seeing what was purchased and you won't forget which gift was for whom.

Lay-away - Some stores offer a lay-away program, so you can pay a little at a time each month. By doing this, you can budget things out over a period of time. By combining this with the list and budget plan, you can cut out the interest incurred using credit cards and still make a monthly payment.

Gift cards - While gift cards are convenient for gift giving, many people feel they are impersonal. Gift cards can also help you shop on a budget, if shopping ahead of time. Purchase the gift cards in the amount you can afford each week or month. Tuck them away in an envelope in a safe place until you have the amount needed to purchase the gifts. You can keep an eye out for sales on certain items this way, as well. Be sure to check to see if the cards have an expiration date. Some expire after a certain time once activated and others have no expiration date at all. Some are even "rechargeable" and more money can be added as needed.

No matter what plan you choose, the best thing is to get organized and plan ahead. Spur of the moment shopping is the worst for anyone's budget. It's too easy to just grab something on impulse and blow the best of intentions.

Make sure you take time to shop around for the best prices this year.

Retailers are expected to offer deep discounts this year, so it will pay to do your homework to make sure you're getting the best deal available.

Also, check the in-store prices to the online prices; some stores offer different prices based on whether you buy the item online or in the store.

I have a lot of relatives that live out of state, so I have to ship several gifts each year.

One of my biggest Christmas budget busters is the high cost to ship these gifts. But, truth be told, it's my fault the shipping charges are so high. I tend to wait until the last minute to buy and ship Christmas gifts.

This year, my biggest money saver will be
buying and shipping gifts for my out-of-state relatives early.

I'll also compare the cost of shipping directly from the store (I shop online a lot) vs. shipping the item myself. If it's cheaper to get the gift wrapped and shipped directly I'll do that instead. But I'll still need to start early to get the best shipping rates!

Ah the holidays... a time for parties, over eating, and over spending. Americans routinely overspend during the holidays, often resulting in increasing credit card debt to go along with that increasing waistline from too much pumpkin pie.

The holidays are stressful enough. Don't add to that stress by overspending your holiday budget. Here are ten tips to help you save time, money and stress this shopping season:

1. Make a list. Decide how much you can afford to spend this year and write it down. Decide who you want to buy for, and how much you want to spend on each person. Take this list with you when you go shopping to ensure that you don't buy on impulse or exceed your spending limit. Also, don't forget to include wrapping paper, decorations and shipping costs. These can add up fast!

2. Pay cash for your holiday gifts. It's much harder to spend cash than credit, so this tip alone could save you hundreds of dollars this holiday season. Also, avoid credit card offers or store charge card offers that offer you a discount if you sign up. These cards usually have high interest rates, and could end up costing much more in the long run than the discount you receive when you sign up for the card.

3. Do your shopping online this year. Buying online could result in discounts not available in stores. Just remember to include the shipping cost when buying online. Even if you don't actually buy online, the time you can save by doing comparison shopping before you go to the malls could be invaluable.

4. Have a Secret Santa gift exchange, where you put names in a hat and each person draws one name to purchase for. If you have a large family, this could mean tremendous savings! You should set a dollar limit so each person knows how much to spend. That way no one overspends and relatives with smaller budgets won't feel bad about not spending a fortune on a gift.

5. Another alternative for those with large families is to do a group gift. Have several relatives go in on one big gift instead of each person buying a separate gift. You will probably all save money and you can buy the recipient one big, cool gift that they really want.

6. Start early! Shopping early allows you to comparison shop and to catch pre-holiday sales, which could mean huge savings. This also curbs impulse shopping, which can be very expensive. Another benefit to shopping early is lower shipping costs if you need to mail a gift. Waiting til the last minute can be expensive because you're more likely to pay full price for the gift, and you may have to pay extra to ship it if you want to guarantee it arrives in time.

7. Make your holiday gifts. If you have creative talents, such as cooking, crafts, etc., making your own gifts can be very special. If you're not very creative, consider giving your time. Offers to baby-sit or to do something special for someone can be very personal and appreciated gifts. How many parents do you know who wouldn't love to have free babysitting?

8. Purchase wrapping paper, holiday cards and other decorations right after the holidays. Seasonal items are usually offered at deep discounts after the holiday, and they never go out of style. Stock up on clearance-priced items for next year, this year!

9. If you'll be traveling this holiday season, book your travel plans early. Airline flights, train tickets and bus tickets usually go up significantly during the holidays, so booking your travel plans early can save you money and stress.

10. Start a Christmas fund in January for next year's shopping. Many credit unions and banks offer special accounts just for this purpose. A CD is another great way to save for next year's holiday expenses. It never hurts to sock away a little money every month between now and the next holiday season. You'll earn a little interest and you'll have cash to spend on your holiday gifts and other expenses when the holidays roll around.