How To Avoid Holiday Debt Next Year!

I know, don’t hate me!  It’s the beginning of the year, you don’t want to even start to think about Christmas next year!  How many of you are still paying for Christmas gifts from the Christmas that just passed?  While it’s still fresh in your mind, let’s all make a few minor adjustments and take some time to organize your thoughts with this calendar.  

I know not every year is going to be the same, but you will be much better positioned for the things that sneak up!  Here is my list of top 5 things you need to do to prepare for the holiday’s next year.

1. First, take some time and sit down and go back through all your receipts and even your statements from when you started preparing and celebrating the holidays.  Look at what you spent.  This includes all holiday potlucks, treat days at work, any baking that you do for your family or kids friends and teachers.  
2. Second, think back and see if you have any guilt purchases or anything you bought that you know you paid too much for.  Take note of how frustrating it can be that you know you didn’t have to spend that much money on an item because you put it off until the last minute.  When you think of something to get that might be a big ticket purchase, make note and then do some research. When is the best time to buy it?  Is it before the Thanksgiving sales or after?  Being just a little organized and prepared can save you a lot of money and time.
3. Once you have sat down and really figured out how much you spent, start a Christmas fund.  What I spend changes yearly, there is no doubt about that, but what is consistent is, I’m prepared for it and and I have a spending fund for it.  That way, if I do go over budget or I do decide to splurge a little this holiday on someone special, I’m not too stressed about it and then in January when I get my credit card bill, it doesn’t stress me out and I can still to my New Year’s resolutions.  See how it’s all a rippling effect?  I don’t know about you, but my December paycheck is the same as my October and November paycheck.  So what makes me think that my January paycheck will be able to cover all of the things I tried to buy in December?
4. Make an appointment on your calendar in October to start thinking about and making a list of who you want to buy for.  Of course, things are going to come up, but remember, you are prepared because you started that Christmas fund back in February!!!  Even if it’s a list that isn’t very organized.  I keep a list with everyone’s names and then ideas under it.  Anything people might say within conversations or something that I might pick up on that they might want, I add it to the list and then come mid-November, I start to research who is having the best sale on the items that I’m looking for, then I’m able to get those items.  That way, when you do add those extra gifts in, it’s not a big concern because you just saved $100 on that blender that you got!  
5. JUST ASK!!!  If you have a hard time coming up with ideas, just ask!  I know how many times I see something and I think “Wow, I’d really like to have that”, but I would NEVER spend the money on it and to be honest, I probably don’t even repeat that to anyone.  Who wants to spend their time after the holiday’s returning things?  It’s never fun for either party.  The person who got you the gift, spend their time and energy on that gift and because it’s not what you really wanted you are now taking it back.  Then the receiver must take precious time out of their holiday time off that they want to spend with family or just trying to reset your mind and prepare for the next 6 months before you take your family vacation.

The holiday season should be about enjoying time with family and friends who are near and dear to you.  Being financially responsible does not mean that you are The Grinch, it means that you can enjoy the people who matter most to you without going into debt.  Because lets face it, when people are unhappy during the holiday’s, it’s mostly because they aren’t prepared or they realize that they are spending way too much on something that if they would have spent just a few minutes doing research, you could have saved a ton of money.