HOW TO PLAN A HOLIDAY BUDGET
The holidays are around the corner and so are shopping for gifts. This is the time when people buy gifts for their friends and family and spend a lot of money on it. Proper budgeting is required to keep the money and the spending in check. The budgeting should be done in a way that you buy more in less money and save more. During the holiday season, there are so many sales and discounts going on with different offers on most of the items.
Prepare a list of expenses that you have to set aside for the gifts. Having money kept separately for gifts is always good as you don’t have to rummage your personal savings for gifts. Include everything in the list of gifts. There are so many decorative items that are used to decorate the gifts while wrapping them so including wrapping paper along with gift decoration items, cards, labels, and party essentials is a good idea as these things are priced low but sum up in a good amount. An average person spends an approximate amount of $1226 on holiday shopping. This will give you an idea that how much you have to spend on the additional items.
Divide the list of gifts into category wise and this will give you an option to divide the budget also. Be it an event or a party, you should keep the budget money aside so that you don’t overspend or go out of the budget. Prepare your list of gifts along with the budget beforehand. Make a note of the discounts and sales and offers. Keeping the chaos out, Black Friday and Thanksgiving are two days when the sales are everywhere with exciting offers and lucrative discounts. A total amount of $289 is been spend by an average customer on Thanksgiving, weekends, Black Friday, and Cyber Monday. If you are keeping a watch on the sales and discounts then you can be the early bird and sweep away the deal before anyone else.
Holidays are fun days when a person is in their happiest mood. This might mean that you can indulge in over-spending and shopping sprees which can increase your spending limit and make your budget show the door. Therefore, to save yourself from this kind of scenario, one should always decide on the spending limit. An average of $300 is spent alone on a child’s gift. There are many things you have to keep in mind when you are buying for children and sometimes they exceed the limit. If you have set aside some money for holiday shopping then try not to exceed the budget and never pay by credit cart. Make it a habit of paying by prepaid debit card. Credit cards give you an option to shop before and pay later but there are 23% of customers who take 4-6 months while paying off their credit cards after a lavish holiday shopping.
Track your purchases after you have the bill as this will give you an idea of how much you are spending on each item. This should be done to make sure that you do not overspend. There is a considerable 58% of consumers who do not have a plan and even if they make one, they don’t follow it. If spending is in talks and you are planning to buy home insurance or auto insurance then contact Julie Sumiki as she is the best insurance agent in Castro Valley.