5 Tips to Lower Financial Stress During the Holidays
How much will you spend over the holidays? Probably more than you think. According to an annual survey by national accounting firm Deloitte, Americans will buy on average about $320 in gifts this year. But when holiday parties and other related spending are taken into account, the survey says average spending will top $1,200.
No one enjoys starting off the new year under a pile of debt. That’s why Origin Bank put together a few simple tips to help you enjoy the holiday season while keeping the financial stress to a minimum.
- Make a list and stick to it. Not having a plan and last-minute gift buying are two of the easiest ways to overspend. When it comes to planning, you don’t need a complicated system. Just list every person you plan to buy a gift for and how much you’d like to spend on each. Total up everything and compare it to your overall budget. You could also consider making your own presents. It may not work for everyone on your list, but giving photos, baked goodies or handmade crafts is an inexpensive yet meaningful gesture.
- Keep track of your spending. Pay really close attention to your spending to see how money flows in and out throughout the season. This is a great way to eliminate stress by avoiding the wrong kind of surprises. Origin Bank offers an array of online services that make it easy to stay on top of account totals, prevent overdrafts and make sure that bills get paid on time.
- Spend smarter this year. Studies show that prices during big, one-day events like Black Friday typically aren’t much better than regular holiday sales. Smart shoppers look for deals every day. And remember that finding “the perfect gift” for someone usually translates into a blown budget. If you come across something you hadn’t planned for, a quick search on your smartphone might determine whether the price is fair or if there’s a better price to be found somewhere else.
- Take into account parties and food costs. We don’t always think of parties as holiday spending, but invitations, decorations, spirits, snacks and meals add up quickly, and they definitely affect your budget. Make a separate list of parties you expect to attend and what you’ll be asked to contribute so you can factor it into your budget. If you’re hosting, figure out a menu as soon as possible. That leaves more time to look for better deals at different grocery stores and to scan newspapers and websites for coupons.
- Saving for the holidays is a lot easier than you think. And it makes a huge difference in reducing holiday stress. Putting away even a little cash each week or month adds up by the end of the year and helps you avoid credit card spending. Origin Bank can help with our Simple Savings account that requires no minimum deposit to open.
One last thing: Consider donating to your favorite local charity this season. It might mean less gift-giving, but local nonprofits are often on the frontlines for those in our community in times of crisis.
For more ideas about holiday planning and how it can lower your stress levels, contact the Origin team. We’re ready to help.