Money Worries
Christmas is a wonderful time of year for so many people. We get to spend time with family and friends, share stories, moments, food, and love.
But for a great number of people, the festive season also brings with it worry, stress and uncertainty. I’m talking of course about the financial struggle Christmas can impose.
Almost every year since 2008 the American consumer has increased spending on holiday gifts.
And according to a study by the National Retail Federation, Americans were projected to spend more money on gifts in 2019 than they ever have before.
Keeping up with this need to spend such a large amount of money for the Christmas holidays is totally unsustainable for some. And not only that, but the stress and anxiety to ‘fit in’ with the popular trend are deeply concerning.
So is the answer more borrowing and more debt?
Or is there a better way to solve your Christmas Financial worries?
Mindset Shift
One of the easiest ways to avoid this dramatic overspending is to fundamentally shift the way you think about Christmas. The festive period can be thought of as more than just an abhorrent first world splurge on consumer goods.
Remember the reason we celebrate Christmas in the first place and what it actually means for your family. It’s time to come together and reflect on the year that has passed. Lavish gifts are not required to get the full joy of this experience.
It is more difficult to implement this tectonic shift in thinking when you have children. Of course, you need to be mindful of their expectations, their friendship groups, and the limited number of years they have to enjoy the magic of the holiday from a child’s perspective.
But you can still achieve all of this by spending more frugally and making a conscious effort to not drain your savings.
Recommended article: 12 Days Of Spectacular Frugal Christmas Tips
Plan Ahead
Personal finances can be managed much more effectively with more time. Therefore, planning your Christmas and the gifts you buy is a great way to avoid excessive spending. The earlier you begin this process, the better you are able to spend within the framework of your budget.
And more often than not, with the use of tools such as cashback, the more money you are able to save. And saving money is the key to well managed personal finances. It is when we go beyond our budget that we run into problems.
I suggest you start thinking about a specific Christmas budget months before the event. Also, start segregating your savings so that you know you can afford what you need to spend.
After all, everyone wants to be able to enjoy the holidays as much as is feasibly possible. But under no circumstances should you splurge and think paying back at a later date is a good idea.
Recommended article: 13 Wonderfully Awesome Christmas Gift Ideas For Men
Long Term Plan
With long term planning in place and a new mindset instilled, your Christmas personal finances should be on the right path for years to come.
Christmas can be an amazing reflective experience and many people I know actually forgo gift-giving altogether. They use their time to help those less fortunate.
if we could all adopt this sort of mentality when thinking about Christmas, it would alleviate the financial pressures on everybody. This is not something that will happen overnight, but the change is already beginning to occur.
Being on this side of the Christmas financial equation could save you a fortune over the years, and make your Christmas experience less stressful and far more altruistic.