7 steps to make Christmas easier on your wallet

by CCCS on 18 October 2010  |  3 comments
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Christmas is fast approaching so follow these top tips to make sure you don't get into debt this year...

No sooner than you’ve shaken the last grain of sand from your flip flops and put away the sun lotion, the shops are full of Christmas cards and decorations again. The countdown to Christmas has begun!

And, as we inwardly moan about how Christmas preparations start earlier every year, we suddenly realise that our credit cards have been working overtime during the summer holidays and are still smouldering from overuse. That’s when the panic sets in and we worry about how we are going to pay for the forthcoming festivities and presents.

Government budget-tightening, especially the forthcoming welfare benefit and public sector cuts will also limit many peoples’ ability to pay for Christmas, particularly families who are already struggling financially.

Many will be tempted to turn to their plastic friend to help ease the financial burden. This might get them through Christmas, but if the balance of the card is not paid off in full at the end of the month, when the interest is added, Christmas purchases can work out to be extremely expensive - which is an added burden to someone already managing on a tight budget .

You don’t have to be a ‘Bah Humbug’ at Christmas!

However, the true spirit of Christmas is not about buying expensive gifts – it’s possible to cut back on expenditure without ruining the fun and spirit of Yuletide. 

As scary as the thought of Christmas and all the expense is, with a bit of preparation and planning you can ease the strain. There are a few steps you can make so that this Christmas is a little bit easier on your wallet.

• Put together a budget now. Make sure all priority bills such as your mortgage, rent, council tax and utility bills are kept up to date before you put aside money for presents. To help you stick to it, imagine how you’ll feel when those high-interest credit card bills are falling on the doormat in the New Year!
• Try and raise some extra cash by having a good clear out and maximise your budget. Sell any unwanted items at car boot sales or on eBay.
• If there are a lot of young children in your family, such as grandchildren, nieces, nephews etc. consider buying for them only.
• Instead of buying presents for adults, consider making something. For example, homemade gifts such as chocolates or jars of preserves or chutney are always appreciated. Or alternatively, agree to a fixed value for presents, or a present-free Yuletide.
• If you are creative, have a go at making your own Christmas cards, gift tags and decorations. There are many resources online to help (search YouTube for practical “how to” videos).
• Try and buy small gifts at sales throughout the year – even now it’s not too late. When Christmas does arrive, you will have bought most of your gifts at a much cheaper price and saved pounds (and there are still “mid-season” sales on now to raid).
• Look for money-off vouchers before you go shopping, but only for gifts you would have purchased anyway. Don’t let them sway you into buying a more expensive present. Use websites such as Hot UK Deals and vouchercodes.co.uk.

Now is the time to start planning

There are still quite a few weeks left to put a Christmas action plan in place and get organised, and if you need debt help you can use our tools to assist you further.

If you have any great ideas to cut costs when planning for Christmas, feel free to share them with us.