Holidays In July: Start Your Planning

It’s never too early to start preparing your finances for the holiday season. Avoid overspending and acquiring debt with these planning tips.

Does the Texas summer heat have you thinking about the cooler winter months? While you’re searching for ways to beat the heat, it’s also the perfect time to start planning and prepping for the holidays.

The holidays can be full of excitement – traveling, hosting parties, shopping for gifts and decorations, and enjoying festive meals. But all that holiday cheer can come with a hefty price tag. Without a plan, it’s easy for expenses to snowball and strain your finances come January. To help you celebrate without the stress, here are some helpful tips to keep your finances in check while still making the most of the holiday season.

Start Planning

Create A Holiday Budget

A solid budget is the foundation of stress-free holiday planning. Start by listing all your expected holiday expenses – not just gifts, but also travel, parties you plan to attend or host, decorations, charitable giving, and so on. Be as specific as possible. For example, instead of setting a flat “gifts” budget, break it down by recipient to better estimate your spending.

Next, review your current finances and set realistic spending limits for each category. Consider what you can comfortably afford without dipping into savings or relying on credit cards. This will help you make thoughtful decisions about where to spend, where to save, and what traditions matter most.

Begin Saving

Now that you have a clear picture of your holiday expenses, it’s time to start saving. Setting aside money regularly, whether weekly or monthly, can ease the financial burden. Although December may seem far off, holiday shopping can begin as early as October!

Here’s how you can plan to save:

• Set a savings goal. Calculate the total amount you need and divide it by the number of weeks or months remaining until you need to start spending.
• Automate your savings. Set up automatic transfers from your checking account to a dedicated holiday savings account.
• Cut back on non-essentials. Identify areas where you can reduce spending and redirect those funds into your holiday savings.
• Take advantage of sales and discounts. This helps you maximize your dollars.

Keep Gifts Simple

It’s easy to feel pressure to buy the perfect gift – or multiple gifts – for everyone on your list, especially when sales and promotions are everywhere. But meaningful giving doesn’t have to mean overspending.

Focus on quality over quantity and choose gifts that are thoughtful, useful, or personal. One helpful approach is the ‘want, need, wear, read’ method – categorizing gift ideas to make your list more intentional. Depending on your budget, you can choose one or multiple meaningful categories per person.

Decorations

Holiday décor is fun, and with so many options available, it’s hard not to fill every space of your home. But it doesn’t have to be all-or-nothing. Instead, consider building your collection slowly over time.

Set a budget for a few new decorations this year, and budget to buy a little more the next year. This allows you to prioritize spending on quality decorations that will last, while leaving room for your collection to grow in the future, should you wish to do so.

You can also add charm and meaning by incorporating DIY projects. Handmade ornaments, wreaths, or centerpieces are not only budget-friendly, but they can also become memorable holiday traditions.

Don’t Go Overboard

It’s tempting to think that starting your holiday planning in July gives you more time to save, which might lead you to believe you can spend more. However, the goal of early planning is to help you control your spending and avoid debt, not to indulge because of the extra time.

Here are some ways you can keep your holiday spending in check:

• Set clear spending limits – and stick to them
• Focus on meaningful experiences
• Avoid impulse purchases by shopping with a list
• Consider DIY gifts and decorations

If you find a great deal, take advantage of it. But don’t let steep discounts tempt you into buying more than you planned. Instead, use the deal as a replacement for something else on your list and redirect the savings toward another area of your holiday budget or set it aside for unexpected expenses.

Summary

Planning for the holidays in the middle of summer might feel early, but giving yourself time now can make a big difference later. By budgeting, saving, and spending intentionally, you can avoid last-minute stress and enjoy a season that’s meaningful, not overwhelming.

Remember, the heart of the holidays isn’t about how much you spend – it’s about the memories you make, the moments you share, and the joy that comes from being present with the people who matter most.