Have you ever had a year where you were financially prudent for 11 months - spending no more than you earned - only to destroy all your good work with an orgy of festive spending in December?
I certainly have.
So how can you stop that happening?
Well, I think the best solution is to plan ahead, and when I say ‘plan ahead’, I mean a long way ahead. I reckon you should start planning for Christmas 2012 on Boxing Day.
Here are some things you can do:
1. Take advantage of the January sales
You could find some excellent Christmas bargains if you think ahead. Put cut-price Christmas cards, wrapping paper, decorations and early gifts at the top of your list.
2. Start a special savings account for Christmas
Set up a separate savings account just for your Christmas spending. Pay in a small amount each month – perhaps just £10 – and promise yourself that you won’t touch it until December. Then you’ll have a nice nest egg to cover your Christmas costs in December.
3. Work out a budget
Calculate the entire cost of Christmas early on. That way, you’ll know how much to save over the year. Once you’ve worked out the cost, just make sure you stick to it and don’t get distracted by impulse spending.
In fact, budgeting is a great strategy for controlling all your spending, not just for Christmas. One of the best budgeting tools out there is lovemoney.com’s MoneyTrack tool.
MoneyTrack aggregates all your online bank accounts and credit cards in one place, so you can see exactly how much money is coming in each day and how much is going out.
You can also track your success against your individual budgeting targets including Christmas. So you’ll quickly know if your Christmas spending is running out of control and you can take quick action to slow things down.
4. Buy a present a month
Another way to spread out your Christmas spending is to buy a present a month. It’s also a way to stop impulse buying.
I hope these suggestions are helpful. Then Christmas 2012 shouldn’t be too painful.
- Check out lovemoney.com’s MoneyTrack tool.